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OLPC XO laptop price rises again from $175 to $188 and some countries pay even more

When we first heard of the One Laptop per Child Foundation, they promised a $100 laptop for disadvantaged children. The price has already gone up to $175 per laptop, significantly up from the original $100 target. The nonprofit group is now upping the price on the $100 laptop again, this time bringing it up to $188.

An announcement that prices would vary by country was also made. The cost per laptop in Uruguay will be $205 due to a partnership with Brighstar Uruguay SA, according to Engadget. OLPC News says the cost of the laptop includes more than merely the components used in the machines.

There are costs to be considered for training of staff and integrating the computers into the curriculum. Hardware maintenance has to be a strong consideration since many of these laptops will be deployed in developing nations.

Software maintenance also has to be considered as holes in security could lead to a huge amount of compromised systems. The final consideration is the cost of internet access for the machines. When all of these factors are considered, the invoice for each laptop over five years comes to $972.

George Snell, One Laptop per Child Foundation spokesman, told Reuters, “We are testing it [the XO laptop]. We are making sure all the software works." 

"We are making all the corrections on it that need to be made before the product comes out," Snell said. He went on to say, “We are not disclosing any orders until we have a final computer, we are in talks with dozens of countries."

Production of the XO laptops is set to begin in October and retail versions could make it to store shelves at higher prices.

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RE: Wondering
By TomZ on 9/17/2007 9:34:38 PM , Rating: 3
The value of the Euro is irrelevant. The OLPC is designed by an American company and manufactured in China and being sold to non-EU countries.

The real reason it is not $100 is that the original cost target was unrealistic. Isn't that obvious?

RE: Wondering
By Pandamonium on 9/17/2007 9:59:00 PM , Rating: 2
That's not entirely correct. The value of the Euro is relevant. The biggest variable should be the strength of the USD. Since this USD has weakened, all other currencies are relatively stronger.

RE: Wondering
By Gul Westfale on 9/18/2007 1:09:16 AM , Rating: 1
correct. it is the US dollar that is weaker, and not th eeuro that has become stronger. the canadian and US dollar are now almost at a 1 to 1 ratio, just two years ago a canadian dollar was worth only 75 cents. thus you do have to pay more for components, and you do have to charge more (in relative terms) when you sell the thing.

this is also one of the reasons why mercedes is still thinking about bringing the small B-class to teh US- in euros it doesn't cost that much but in the newly devalued US dollar it would be very expensive and thus nobody would buy it. here in canada they do sell the B-class for 30k canadian, two years ago that would have been about 23k US, but now it's closer to 29k.

"We are going to continue to work with them to make sure they understand the reality of the Internet.  A lot of these people don't have Ph.Ds, and they don't have a degree in computer science." -- RIM co-CEO Michael Lazaridis
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