Monday, December 08, 2003
The Simputer changes its tune
I was introduced to the Simputer story back in 1998. So, I was dissapointed when I realised that it had got its price point all wrong and that as a result it was going to bomb badly. Now, the company seems to be spinning a very different yarn (to save face?), if this CNET report can be believed. Apparently, the Simputer will now target high-end users rather than the *digitally deprived* it was supposed to serve, according to all the initial publicity.
"It the beginning, it was portrayed as a computer for the common man. They had pictures of farmers in India holding it, but it was for publicity," said Desiraju, CEO of Encore Technologies, the Singapore-based company designing, making and selling the handheld. The idea for the Simputer was first proposed in India. Encore's own Web site holds press clippings with headlines such as "Computers for the Third World", "India's simple computer for the poor" and "New handheld aims to bridge digital divide".
After two years of such pre-publicity, Encore launched the device in October 2002. Since then, the firm has tried to shake off the Simputer's rustic image and move it upmarket, selling the handheld as a do-anything platform that can be transformed into any kind of portable computer. But in the last two years, handhelds from major makers such as Palm and HP have gained in features and dropped in price, factors which some have said undermined the reason for the Simputer's existence.
Desiraju, however, pointed out that the Simputer is very different from a PDA. Such handhelds are just accessories to the PC, whereas a fully-configured Simputer can replace a desktop, he said. "For the cost of one PC, you can buy five Simputers," he said. It is also far cheaper than other handhelds designed for vertical markets, thanks to the use of royalty-free hardware, the open-source Linux operating system and low capital costs of the founding companies, he said.
Desiraju had on hand a paperback-sized Simputer Web server. The device's mainboard, memory, processor and Linux operating system is so customizable, he explained, that it can be configured as a tiny server that converts a stand-alone industrial machine into one that can be managed and configured remotely, over the Internet or by dial-up. In another mode, the Simputer can become a thin client by adding a keyboard and external monitor. The Simputer cannot be purchased in stores, but is sold as part of a business solution.
I don't know what the current price of the Simputer is, but the last time I checked it was between $250 and $300 and I am assuming it hasn't come down a great deal since (else they would still be trying to tap the rural market). In today's market, you could buy a basic Palm Zire for under $100 and you can buy a barebones PC for about $400. And of course, there are serious attempts to reduce the cost of PC's further, including by my RISC colleague, Rajesh. In such a situation, I simply don't see what market the Simputer is trying to capture. After all, it would be difficult to convince someone to buy a simputer as a desktop replacement when it costs about as much as a cheap desktop itself and offers far fewer features.
"It the beginning, it was portrayed as a computer for the common man. They had pictures of farmers in India holding it, but it was for publicity," said Desiraju, CEO of Encore Technologies, the Singapore-based company designing, making and selling the handheld. The idea for the Simputer was first proposed in India. Encore's own Web site holds press clippings with headlines such as "Computers for the Third World", "India's simple computer for the poor" and "New handheld aims to bridge digital divide".
After two years of such pre-publicity, Encore launched the device in October 2002. Since then, the firm has tried to shake off the Simputer's rustic image and move it upmarket, selling the handheld as a do-anything platform that can be transformed into any kind of portable computer. But in the last two years, handhelds from major makers such as Palm and HP have gained in features and dropped in price, factors which some have said undermined the reason for the Simputer's existence.
Desiraju, however, pointed out that the Simputer is very different from a PDA. Such handhelds are just accessories to the PC, whereas a fully-configured Simputer can replace a desktop, he said. "For the cost of one PC, you can buy five Simputers," he said. It is also far cheaper than other handhelds designed for vertical markets, thanks to the use of royalty-free hardware, the open-source Linux operating system and low capital costs of the founding companies, he said.
Desiraju had on hand a paperback-sized Simputer Web server. The device's mainboard, memory, processor and Linux operating system is so customizable, he explained, that it can be configured as a tiny server that converts a stand-alone industrial machine into one that can be managed and configured remotely, over the Internet or by dial-up. In another mode, the Simputer can become a thin client by adding a keyboard and external monitor. The Simputer cannot be purchased in stores, but is sold as part of a business solution.
I don't know what the current price of the Simputer is, but the last time I checked it was between $250 and $300 and I am assuming it hasn't come down a great deal since (else they would still be trying to tap the rural market). In today's market, you could buy a basic Palm Zire for under $100 and you can buy a barebones PC for about $400. And of course, there are serious attempts to reduce the cost of PC's further, including by my RISC colleague, Rajesh. In such a situation, I simply don't see what market the Simputer is trying to capture. After all, it would be difficult to convince someone to buy a simputer as a desktop replacement when it costs about as much as a cheap desktop itself and offers far fewer features.
