Asustek announced Asus Eee PC, an ultra small and light laptop designed specially for Internet related activities.Asus Eee (Easy to learn, work, play - Excellent Internet experience - Excellent mobile computing experience) 701 model weighs approximately 1.96 pounds and features 7-inch screen. It is based on some of the Intel’s processors and chipsets with integrated graphics. The Eee 701 PC has 512MB of DDR2-400 memory, while for the data storage there are 4GB, 8GB, or 16GB Flash drive option.

Asus’ Eee PC 701: sub-sub-notebook

Regarding communications, it has Ethernet LAN, an 802.11b/g wireless, and a 56K modem, while for audio/video chat there are integrated web camera and microphone. The images show that Eee has at least two USB ports, VGA out, and some kind of card reader.

According to press release, the Linux and Windows XP compatible Asus Eee 701 PC

offers two modes of user interface design: the easy mode and the full desktop mode in order to accommodate both experienced and inexperienced PC users, assuming these modes are provided by Linux operating system.

EeePC 701 Specs:

• Display：7″
• CPU & Chipset: Intel mobile CPU & chipset
• OS: Linux/ Microsoft Windows XP compatible
• Communication: 10/100 Mbps Ethernet; 56K modem
• WLAN: WiFi 802.11b/g
• Graphic: Intel UMA
• Memory: 512MB, DDR2-400
• Storage: 4/ 8/ 16GB Flash
• Webcam: 300K pixel video camera
• Audio: Hi-Definition Audio CODEC; Built-in stereo speaker; Built-in microphone
• Battery Life: 3hrs (4 cells: 5200mAh, 2S2P)
• Dimension & Weight: 22.5 x 16.5 x 2.1~3.5cm, 0.89kg

Boy, the Foleo sure is going to have some tough competition. First Via shows off their smaller and lighter device that runs Windows, now Asus is wanting some of the action.