"As in any revolution, the current rulers of the
kingdom -- Intel and Microsoft, which make the chips and software
that run most PCs -- face an unprecedented challenge to their
dominance. Microsoft is particularly vulnerable, since many of the
new netbooks use Linux software instead of Windows.
""A broad shift in the consumer market toward low-cost PCs would
clearly put pressure on the revenues of nearly every player in the
value chain, from component suppliers to retailers," wrote A. M.
Sacconaghi, a securities analyst with Sanford C. Bernstein &
Company, in a report last month. "However, we believe the impact
would be especially negative for Intel and Microsoft, who today
enjoy near monopoly positions in their respective markets.""