Date: 27th July 2010

India's $35 tablet: 35 billion+ US$ revenue from 1 billion+ sales

India's attempt to design a prototype tablet computer priced at $35 can also be treated as showing the manufacturing geniuses in the world a market opportunity of $35 billion by selling $35 worth tablet computer to every rural/poor individual on the earth who can't offer costly tablet computers and gadgets, there is large chunk of this population in India itself. This gadget is of some use for every type of person whether old or young, literate or illiterate, because there is audio/video support in this tablet even illiterates can learn with simple user interface to watch and listen to media files. For the cash-rich world they may call it a disposable tablet computer. We can't call this as laptop but has most of the features typically available in netbook/notebook computer but without the windows software.

Business challenges in achieving this goal: This type of project will face hurdles as big as Tsunami waves. The major challenges include:

Handling the OEM software and hardware competitors who would like to finish-off this kind of project.
Getting the design right at first time with no serious bugs and glitches.
Releasing the advanced version at same price before any competitor attempting. Show only tip of the iceberg (your innovation) and slowly bring the next one.
Maintaining the security inside this system safe enough to keep the hackers miles away.
Managing distribution and logistic headaches.
Ensuring the proper recycling of scrapped tablets and also blocking it from using for un-lawful purposes.

However big are these challenges the market and industry is now mature enough to commoditize handheld digital gadgets. Key factors enabled/enabling the possibility of low cost tablet computers are (in fact these need to be renamed because they are not just computing device they also communicate and entertain the user).

Moore's law: The number of tiny transistors inside a semiconductor chip are getting doubled once in 2/3 years resulting proportional fall in cost of end-equipments mainly made out of semiconductor chips. This started in the late 1970s and still has life of another 4 to 5 years. This is a major contributor in enabling affordability of computers and smart phones.

China factor: The ability of Chinese manufacturing industry to produce components as well as systems at a price where no region can compete.

Open source software: Availability of free open source software packages such as Linux and Android has also helped a lot in bringing down the cost of devices

Internet/web: No media is as powerful and free as Internet in bridging the suppliers and market at a cost far less than traditional media and networks.

India's abundant software programmers and design engineers: The large amount of quality and less costing software programmers and engineers in India is also a key factor.