Intel expects to ship two million Classmate PCs this year, up from 700,000 units in 2008. These are basically netbooks for the educational purposes in emerging markets.
Currently, Intel is aggressively trying to cut into rural areas in China partnering with local vendor Haier, and has also landed procurement orders from emerging markets in Europe and Southeastern Asia.
However, netbook vendors are concerned that Intel's move to make Classmate PCs available in the channel could impact their consumer netbook sales. Also since Intel controls chipset and CPU pricing, it could lead to unfair competition for the vendors, the sources noted.