$400 for a netbook that doesn't run windows. Hell, doesn't even run when it's not hooked up to your phone. You can buy a netbook running windows 7 (or a full linux distro of choice) for under $300.
You can buy netbooks for under £/$200-250 these days, some with Win XP, but more running a Linux variant of some sort. I use an Asus EeePC 1000 running Easy Peasy 1.5, which is exactly what I need - all I use it for is light web browsing (Opera, sometimes Firefox for less W3C compliant web content), listening to music (hello Banshee), writing documents and the odd bit of spreadsheeting (OpenOffice). Simples!