Zenith Computers has announced the release of a laptop for as low as Rs 14, 999. This is the first time that a hardware manufacturer has been able to break the psychological barrier of Rs 20,000 with a Windows based Laptop.

Thus far the cheapest Laptop in this category was the Asus Eee PC that was being sold for Rs 18,000. But the Asus laptop was linux based. Industry experts believe that the price reduction has been possible as the company expects to drive up the volume of sales substantially. The company expects to sell laptops worth 8 million this year and hopes to drive the sales to a figure of 18.3 millions next year. The company is also releasing a desktop for Rs 11,999.

Microsoft is also a partner in the initiative. They have scaled down the Windows XP to run it on low cost laptops. Ravi Venkatesan, chairman, Microsoft India said “Under the Microsoft Unlimited Potential initiative, our effort is to bring sustained social and economic opportunity to people who currently don’t enjoy the benefits of technology. Our aim is to propel a wider acceptance for IT amongst the masses by extending an opportunity to learn, connect, create, and succeed by combining advanced technologies and relevant partnerships.”