I am interested in pint-sized, cheap laptops such as this Asus Eee PC. At $499 and weighing only 900 grams, it will allow you to surf the web and type a document in OpenOffice. It runs Linux not Windows. It has a negligible harddrive - about 1.5MB of free space - but you can boost storage with a USB. Sounds great for travelling and for younger kids school needs although the touchpad and keyboard sound a bit dinky. A step in the right direction and competition should deliver improved options over the next year or so.
I first read about this at Troppo. This tiny laptop now on sale in Australia at Myers.