Verizon’s Subsidized Netbook Not Worth the Money

At LAPTOP, we’re big fans of the netbook category, but we also realize its limitations. So when we heard today that Verizon is going to be offering an HP Mini 1151NR (an HP Mini 1000 with a different model number) for $200 in exchange for signing a two-year mobile broadband contract and agreeing to monthly rates of $40 to $60 a month, we were highly skeptical. Sure, it’s great to have access to Verizon’s speedy EV-DO network from anywhere, but given the low-end hardware  itself and the astronomical amount of money you’re committing to that netbook over a period of 24 months, you’d have to be a complete sucker to fall for this deal. First of all, let’s look at the HP Mini netbook itself. It has a lot of common netbook staples: 10.1-inch (1024 x 576) screen, 1.6-GHz Atom N270 processor, 1GB of RAM and 802.11b/g Wi-Fi. However, its 80GB hard drive is smaller than most of today’s low-end netbooks. Worse, its 3-cell battery is a joke. We haven’t had a chance to test our review unit yet, but 3-cell systems tend to get 2.5 to 3 hours of battery life. Walt Mossberg, tested his review unit and found that it got less than 2 hours of endurance under high-stress conditions. If you’re purchasing mobile broadband, you’re doing it so you can be mobile and access to the Internet from anywhere. If you only get a couple of hours of battery life, what’s the point? Why not just stay home and plug in? You’ll be able to purchase a 6-cell battery from Verizon or HP, but that will cost you a whopping $130. Any consumer who does just a bit of research will realize that the 1151NR doesn’t stack up well to the competition. For $350, you can get a 10-inch Acer Aspire One with a 6-cell battery that gets 6 hours of battery life and a 160GB hard drive. Yes, that netbook costs $150 more, but you don’t have to commit to two years of pricey broadband service to get it. Willing to settle for a smaller screen and a low capacity battery? You can  get an 8.9-inch Acer with 3-cell battery for as low as $259 as of this writing. Yes, it’s true that these other netbooks don’t come with a mobile broadband card built-in, but it’s not like you couldn’t get a USB EV-DO modem from Verizon for somewhere between $29 to $49 (with two year contract also) and attach that to the netbook. In fact, you’d be infinitely better off purchasing a USB mobile broadband modem or a mobile hotspot like the MiFi and using those with the netbook or notebook of your choice. When you think about the enormous long-term commitment of money you’re signing in that two-year contract, you’re going to want to be able to use the service with something better than a mediocre 2008 netbook when your 24-month contract is still going in 2011.With a modem that’s not built-in, you can move the connection between devices as you upgrade. You can even connect your home desktop to Verizon if your regular home broadband goes down for a few hours. Because of its targeted audience, you’d think Verizon might cut subscribers a break on its normally high mobile broadband prices, but you’d be dead wrong. When signing up for the subsidized netbook, you get the same choice offered to business users: either a $39.99 monthly plan that comes with 250GB of usage or a $59.99, 5GB plan. Both plans charge hefty overage fees of .10 or .05 per MB if you exceed their limits. While, the $39.99 plan is definitely more affordable, its 250MB limit is so small that the overage fees are almost guaranteed if you actually use it on a regular basis. So, let’s say you get the $59.99 plan. Over a period of 24 months, that’s $1,440 before you add on any taxes or fees. Do you really want to commit $1,440 to using an underpowered netbook that will be a companion device (not a primary notebook) today,  and be gathering dust in your closet two years from now? If Verizon wants to go into the PC business, they’re going to have to offer something a lot more robust and affordable than this mini.