Microsoft and Intel may trim netbook sizes with Windows 7

One of the more fascinating aspects of the netbook phenomenon today is how the market segment has grown and adapted over the last couple of years. Originally all netbooks were humble laptops with tiny, 8.9-inch screens and baby-finger-sized keyboards, but recently manufacturers have been pushing those machines and screen sizes larger. 10.2-inch became the new standard late last year, and now 11.6- and 12.1-inch screens are becoming popular -- namely because they're large enough to substitute for a regular laptop on which you can do "real" work. From there it's only a quick hop to 13.3 inches, which is the realm of the mainstream, ultralight PC.

Now comes news that manufacturers may have a hard time making larger netbooks if Intel and Microsoft have their way. According to one source (unsubstantiated at present), the two companies are conspiring to limit the maximum size of what qualifies as a netbook to machines with a 10.2-inch screen.

Semantics? Nope. "Netbooks" have become serious business and now have a real, defined definition in the industry. That's important because Microsoft gives a price break on computers that qualify as netbooks, and also currently allows them and only them to have Windows XP preinstalled. As well, Intel certifies its low-cost Atom CPU to run only on machines of certain sizes.

Why limit the netbook classification to smaller-size machines? Simple economics. Once you hit the realm of 13.3-inch notebooks, prices skyrocket as you enter the world of "ultralights," slim and svelte computers designed for the style-conscious and for business travelers who want to keep their gadget load minimized. Ultralights can run up to $2,000 or $3,000, while netbooks, even larger-size ones, usually hit the $400 to $650 range. No one in the supply chain wants to lose that gravy train, especially not Microsoft and Intel, because it's where the lion's share of profits come from.

Bottom line: If you like the looks of bigger netbooks like the Dell Inspiron Mini or the Samsung NC20 (though the latter currently uses a VIA CPU, not an Atom), you might want to snap one up now, because their days might very well be numbered.