Netbooks and the netbook market segment have managed to gain the interest of a high number of computer users and PC manufacturers, as these small-sized, ultraportable devices can deliver the basic computing experience that most users require from a portable PC. However, although the value of the netbook market has increased significantly both quarter-on-quarter and year-on-year, the revenue for larger notebook PCs was down, except for the portable category, according to a recent report from DisplaySearch.

“Mini-notes have been a significant contributor to volume growth in the portable PC market as their very attractive price points make owning a secondary computer viable for many consumers. However, the lower ASPs of these devices are clearly having a negative impact on portable PC market revenue,” said John F. Jacobs, director of Notebook Market Research. “For 2009, we expect continued ASP erosion across all portable computer categories, leading to the first Y/Y decline of portable computer revenue.”

The Average Street Price (ASP) for mini-notes dropped almost 30% year-on-year, according to the aforementioned report, compared to a 10% decline for notebook PCs. Despite the reduction of the ASP, the mini-note category achieved a substantial revenue growth thanks to an impressive 360% year-on-year unit growth. Mini-notes, or netbooks, are a category of portable computer systems that are generally more affordable than traditional laptops, which makes them attractive to a wider range of customers.

According to DisplaySearch, the total value of the notebook PC market in Q2 was US$26.4 billion, an increase of 10% quarter-on-quarter, but a drop of 5% Y/Y. The research firm further predicted that these market trends were expected to be maintained through to 2010, with mini-notes expected to account for 21.5 percent of shipment volume, but 10.9% of the total revenue for the portable computer market, in 2010.