‘Buy 1, Give 1’ laptop campaign boots up

Steve Tripoli Sep 24, 2007
HTML EMBED:
COPY

‘Buy 1, Give 1’ laptop campaign boots up

Steve Tripoli Sep 24, 2007
HTML EMBED:
COPY

TEXT OF STORY

KAI RYSSDAL: There was this idea that started making the rounds a year or two ago — a $100 laptop designed for kids in poor countries. A group that had its roots at MIT was pushing the project.

Their plans hit a snag though, in part with actually delivering that $100 price tag. So today, the group — known as One Laptop Per Child — rebooted its business plan.

Marketplace’s Steve Tripoli has the story.


STEVE TRIPOLI: The so-called XO Laptop is having trouble gaining traction largely because it’s not a mainstream consumer product.

JOSH BERNOFF: They have a real, chicken-and-egg problem.

Josh Bernoff at Forrester Research says the plan was to offer only giant-size orders — a quarter-million computers or more — directly to national governments. But that was also a stumbling block.

BERNOFF: People won’t sign up in these countries until the laptop is proven, and the laptop can’t be proven until a bunch of them have been delivered to somebody.

It will take millions of sales to reach that $100 price point. And One Laptop Per Child also has to cut out the marketing and distribution costs that can make up half of a traditional laptop’s price.

To that end, the group is offering this deal to American and Canadian consumers for two weeks in November: Buy two XO’s for $399 total, and one of them will go to a kid overseas.

Walter Bender at One Laptop Per Child admits this wasn’t Plan A. But he says it does meet some of the organization’s other goals.

WALTER BENDER: We certainly want to get not just the American consumer, but children, teachers, parents — anyone who can actually contribute to learning both here in the United States and around the world — involved in this project.

Bender says three parties win with this approach: The project’s sales are jump-started, developing countries get to road test the XO, and North American consumers get a talked-about computer by Christmas — plus a chance to do some good. By the way, half the purchase price counts as a charitable donation as well. So that’s a tax deduction.

I’m Steve Tripoli for Marketplace.

There’s a lot happening in the world.  Through it all, Marketplace is here for you. 

You rely on Marketplace to break down the world’s events and tell you how it affects you in a fact-based, approachable way. We rely on your financial support to keep making that possible. 

Your donation today powers the independent journalism that you rely on. For just $5/month, you can help sustain Marketplace so we can keep reporting on the things that matter to you.