Asus announces the Eee PC at the Computex 2007. A base model of the small 7 inch portable mobile PC is supposed to sell for $200.

The three Es in the Eee PC name stand for: Easy to learn, work, play; Excellent Internet experience and Excellent mobile computing experience.

The 7” Eee PC 701 weighs only 0.89kg and packs features like Intel Mobile CPU, Ethernet, Wi-Fi, QERTY keyboard, Intel UMA graphcis and up to 16GB Flash drive. A webcam and speakers are also integrated.
The battery life is given with 3 hours. See also these hi-res photos. The little low-cost PC runs Windows XP or Linux.
There will be different models of the Asus Eee PC with prices going up to $500. The Eee PC is scheduled to be released later this year.
This low-cost ultra-portable computer will be very strong competition to more expensive (overpriced) UMPC computers available today and also Palm will have a hard time selling the Foleo.

EeePC 701 Specification
Display：7"
CPU & Chipset: Intel mobile CPU & chipset
OS: Linux/ Microsoft Windows XP compatible
Communication: 10/100 Mbps Ethernet; 56K modem
WLAN: WiFi 802.11b/g
Graphic: Intel UMA
Memory: 512MB, DDR2-400
Storage: 4/ 8/ 16GB Flash
Webcam: 300K pixel video camera
Audio: Hi-Definition Audio CODEC; Built-in stereo speaker; Built-in microphone
Battery Life: 3hrs (4 cells: 5200mAh, 2S2P)
Dimension & Weight: 22.5 x 16.5 x 2.1~3.5cm, 0.89kg