World's Cheapest Netbook Under $100
The world's cheapest netbook now resides in China.
For consumers who want to go cheaper than cheap, Lanyu from Shenzhen, China has created what's labeled as the world's cheapest netbook on the planet: the eBook LY-EB01. So how cheap is this mechanical beast? Try a whopping 666 Yuan ($98), far less than an iPod Touch, Xbox 360, or a nice, full-featured watch. With that said, we have to question what exactly is running this thing under the hood.
According to Ubergizmo, not much at all. However, given the price, low-end components should be expected. The netbook comes packed with a 266 MHz AK7802Q216 ARM processor, 128 MB of RAM, a 7-inch 800 x 480 TFT LCD display, Wi-Fi connectivity, a 1800mAH Li-Ion battery, and Microsoft's WinCE 5.0 pre-installed. We're betting this think even has a 56K modem.
Currently the "netbook" is available in China, however it's unknown whether the device will be available for purchase internationally. If anything, the netbook may be useful to check email or play a few rounds of solitaire. Heck, maybe it will actually play Doom or some other old-school shooter.

I know I know, it's just a typo. I'm teasing ya...
That said, who knows what kind of press this thing would get in the states. There are many people who cannot afford netbooks at their current price point, but $98 could break that barrier. And in terms of demographics, this market would largely be very rural, and most likely the Midwest states. There, people are still using dial up widely.
For more information on netbooks, check out http://www.netbookstation.com
On a serious note, you could run a Linux distro on it (better than WinCE)
If it's possible to install Win98 and play DOOM1 or install Linux/Gnome, then I'll call it a real netbook.
If there is a Windows port to Arm, I'll be tempted.
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We're betting this think even has a 56K modem.
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God probably just bought a used iPod Video and put Rockbox on it.