I wouldn't call that "thing" a netbook, but a small laptop. The iBook was about the same size and nobody called it a "netbook".

For me "a netbook" it's something similar to a product really called Netbook, the Psion Teklogix's "Netbook Pro". It was a little laptop with touchscreen, flash storage, and an Xscale processor running Windows CE.

I used to work for a warehousing company, and warehouse managers loved it. They could browse the Intranet, run a TN5250 terminal, answer email, etc... at any point of the warehouse, carrying almost no weight and, the most important thing, with near zero waiting time. It just booted in seconds. It was outrageusly expensive, may be something like 2000eur.

I understand that's the device Google has envisioned for its Google OS (but much cheaper obviously). A non-x86 CPU, flash storage, may be a touchscreen... something just different from the laptop you would use to run Windows, not just smaller.