Novatium partners with BSNL (bundles netPC with Broadband)

The low cost PC space is heating up in India and Novatium, the thin client based network after forging a deal with Tata Tele has now partnered with BSNL.

The partnership will enable Novatium to offer Nova netPC enabled with the BSNL broadband.

The key factor that will enable broadband penetration is an affordable computing access device and Nova netPC offers the customers to get home a personal computer at just Rs.2,999 – source

Very recently, Low cost PC provider, NComputing partnered with AP government to provide computing access to 5,000-school educational computing initiative.

In our earlier coverage, Sumanth shared very interesting insights on Novatium:

  • The fee quoted does not include the price of a monitor which needs to be purchased separately. So assuming a price of say Rs. 3,000 for a decent monitor, the total price for the capex comes to Rs. 5,499.not much lower than entry-level PCs that retail in the Rs. 10,000 range. Would users perceive the difference to be valuable enough to justify giving up on a full-fledged PC?
  • There is a monthly charge that needs to be paid for connectivity.something in the range of Rs. 300 – Rs.400. Now this raises an interesting question – how many folks who are presumably extremely cost-conscious (to justify choosing the NetPC over a regular PC for the Rs. 3.5k difference) would be amenable to paying Rs. 400 per month?! My guess would be none! There is an essential disconnect in the customer profiling model.
  • What’s more, this monthly charge only gives the user 30 hours of usage time per month – anything extra requires an additional fee – since the NetPC is useless without connectivity, what they are offering is basically a PC that can be used just for one hour a day!
  • Also, the apps that comes for the basic fee are trivial commodity apps like games and media player.anything meaningful like Microsoft Office has an additional fee of Rs. 100 per month.now contrast this to the normal PC seller who is likely to just throw in a pirated copy of Office for free with the purchase!
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