So what can users expect with an Android netbook? It's hard to predict, but I'm expecting Android to be a bare-bones OS, much like the version you see on Android smartphones. Users will do most of their tasks, such as word processing, using online applications such as Google Docs.

Top companies including Hewlett-Packard and Dell are already investigating Android for netbooks, so it may well evolve into a OS that competes with Windows. Acer plans to launch its first Aspire One netbooks with Android in the third quarter.

HP last month launched a bare-bones Mini 110 Mi, which is a netbook that behaves like a smartphone. It has a souped-up interface that provides one-click access to everyday applications such as word processing and a Web browser. The netbook's user interface was developed by HP and runs on the Linux OS. The 110 Mi has a 10.1-inch screen and is priced starting at $279.99. It can accommodate as much as 2GB of memory and 250GB of hard drive storage.

The company also launched Mi's cousin, the Mini 110 XP edition, which comes with Windows XP. It can have as much as 1GB of memory and 160GB of hard drive storage. HP says an optional Broadcom HD video accelerator could become available in July, allowing the laptop to play back full 1080p high-definition content. Pricing for the laptop starts at $329.99