In the month of Feb 2009 when Govt. of India announced
plan to make a laptop at a price of $10, the media had bashed
the idea and some even called this a joke. We took a different
approach to the idea and wrote how low cost laptop is possible.
Now it's happy to know that HRD minister Kapil Sibal has
unveiled a quite capable portable computer (you can call
it a laptop or netbook or a tablet) with a price tag of
Rs 1500 ($35), 25$ more than what was announced but still
is a great achievement comparable to the Tata Nano car at
1 lakh. To add one more point, this achievement is from
people in academia not from the industry.
Here below is our previous article published on 5th Feb
09
Detailed study of possibility of a $20 Laptop computer
There is plenty of media coverage on $10 laptop announced
by Indian Govt in partnership with Vellore Institue of Technology
and IISc Bangalore. Lot of media bashing is going on with
nearly no one to buy this idea. We took a different approach
and digged little deep into engineering related cost issues
involved. We would call it $20 laptop rather than $10. Here
is the study on what it really matters to deliver low cost
laptop. This is written keeping in view of readers from
non-engineering background.
Developing a $20 laptop is a tough task; it's very challenging
but a doable task. Here's an optimistic study on the possibility
of making a low cost laptop.
In any electronic system 60 to 70% of the cost is its electronics
and other components. Let's start with key components of
a Laptop. Laptop has following key components.
1. LCD Display: Liquid Crystal Display (LCD) is now the
most common display used as screen in both TVs
and laptop computers, and mobile phones. It's thin and consumes
very less power compared to picture
tube used in old TVs and desktop computers.
2. Microprocessor: This is the semiconductor IC chip, which
does all the data processing and data calculation
in any laptop or a computer. It can be called as silicon
brain of any intelligent electronic system.
3. Memory: Most of us are familiar with pen drive or thumb-drive,
similar one can be used in latest laptops
to store data, another key component inside a laptop. It's
called solid stat disk drive.
4. Power Supply: Since all electronic devices operate on
electric current, these above components and
other support components need a power supply unit (again
set of electronic components)
Above four are the most expensive semiconductor devices
(by that order) goes into laptop, the other less important
and less costing components are, keyboard, touch interface,
speakers, plastic and mechanical assembly components.
Let's get into cost of these devices:
LCD display: This device got introduced to the market in
late eighties; this opto-electronic device was exorbitantly
priced for first few years. The technology involved in manufacturing
is similar to semiconductor IC manufacturing. It's even
more complex. Over the years due to the advantages of LCD
display, the usage has grown, and the cost has come down
drastically. Recently its no more expensive than a picture
tube based video display in long-term usage. Color LCD displays
of size 10 Inch and 12 Inch are now available at an approximate
price range of US$ 50-75. The cost is coming down each year
by at least of 10%.
To make $20 laptop, the cost of this should not exceed more
than $5. So what it takes to produce such a low priced LCD.
Simple answer is volumes and easy availability of technology.
Now to build a LCD plant, it cost in the range of 1 billion
US$ to 3 billion US$. Investment depends on the technology
generation to be used for manufacturing. To make LCD panels
for a $20 laptop, it takes an approximate investment of
less than a billion US$. Yet it's not small amount. Assume
a billion $ invested LCD plant will have immediate order
of at least 200 million (assuming there are 200 million
school kids in India as immediate customers) LCD panels
in its first year of operation. And this company is opened
to supply its products to any other markets too. Rest of
analysis you can make to more or less find out that, it's
not that bad an idea to start exclusive plant for this laptop
product and may even get extra subsidy. Indian government
already provide list of sops for investors in optoelectronics,
semiconductors and solar photovoltaic modules.
Microprocessor: Let come to the cost involved in manufacturing
the so-called silicon brain. The microprocessor technology
growth follows a law called Moore's law, where every year
at certain rate the performance of processor (both speed
and quantity of data it can handle) grows each year and
the cost comes down at certain rate. From past two decades
this law is very well working and today the cost of microcontroller,
the microprocessor with built-in interfaces is available
in less than 5 US$. There are even $1 microcontroller in
the market to do simple data processiong tasks.
Today's processor integrated chips are called SoC (System
on Chip).SoC packs all the required additional semiconductor
components along with microprocessor into a single chip.
This device along with power IC components is nearly enough
to make a $ 20 laptop. Today's SoCs have on-chip wireless
functions like WiFi, Bluetooth and any such wireless technologies
However present SoC is not that cheap to make $20 laptops.
To design a SOC itself it takes millions of US Dollars.
But in Indian context it will be far less than international
cost due to adequate availability of VLSI design experts
in India, who can offer their services at lesser pay.
With a minimum order of 200 million numbers of these devices,
companies can think of establishing 40nm (most advanced
version) semiconductor fab in India.
Flash memory, and DRAM chips, may be slightly of lower
capacity can be procured in a price range of 1-2 US Dollars.
When the cost of high tech semiconductor components can
itself be brought down to achieve $20 laptop. The other
less technology dependent components can be made or procured
at affordable prices to achieve $ 20 goal.
When it comes to Software, a version of Linux and such
open source can substitute instead of costly licensed versions.
However to quickly achieve $20 laptop goal, India need
some sort of tech support from technology leaders in this
field.
When low cost nano car is feasible and even economical
high-tech manned moon mission is underway, low cost laptop
doesn't looks to be a joke, it's a far serious matter to
get every kid a replacement for his paper notebook with
a computer notebook.
All these years innovation mainly focused to improve performance.
To address environmental and affordability issues, if innovation
is focused on saving cost and boosting energy efficiency,
good things are possible. Just like the world has moved
from electronic calculators to feature rich laptops.
Even on a very practical note, the laptop on which this
article is typed was bought for $2000 US$ in 1998. It's
a Pentium MMX based system with 4.2 GB disk drive, If the
same is made now it can be purchased at $200 US$ or even
lesser prices. Volume is the single reason to bring the
price down. It can take 10 years or 1 year to reach those
price-impacting volumes.
Finally it's not about exact $20 or more, but about making
technology affordable to masses with least impact to environment.
