Hardware highlights:
CPU: Pentium M
RAM: 512MB DDR2 memory
Connectivity: 100Mbps Ethernet, 56K modem, WiFi 802.11b/g
Main Storage: 4GB Flash (more storage will probably be available)
Mutimedia: built-in stereo speaker, built-in web cam, built-in microphone
I've been involved in the development work for the simple mode and I can say that this laptop is quite nice. I really like it's small size and I could see myself carrying it everywhere I go. If they can keep the price around 200-250$ I'm sure a lot of people will buy it. It takes a little while to get used to the tiny keyboard and you won't be able to play Supreme Commander on it but it is more than adequate to read your e-mail, browse the web, watch streamed movies, etc.