The HP laptop is powered by Intel Atom N270 processor with 512KB of cache, and comes with a 10.1-inch screen. According to , the netbook also includes 1GB of memory, a 16GB solid-state drive and runs on Windows XP. The laptop has an embedded 3G mobile broadband module for high-speed Internet connections.

Acer's netbook includes an Intel Atom processor, 1GB of memory, and a 160GB hard drive. The system runs the Windows XP OS.

Telecom providers started offering netbooks with wireless contracts last year in Europe and Asia, which helped spike the shipment numbers of the low-cost devices. The trend reached the U.S. late last year, when RadioShack announced it would offer an Acer netbook for $99 with a two-year mobile contract from AT&T.

Worldwide netbook shipments totaled around 11 million in 2008, with the number expected to double this year, according to research firm IDC.

Netbook distribution through telecom companies has found a sweet spot in Western Europe, where telecom companies have accounted for 25 percent to a third of the netbook shipments, said David Daoud, research manager at IDC.