"Let's throw the display out"?
Whether we're talking about a netbook, a nettop, or a beagle board, how can you do web browsing and video with out a display? If you can point me to any LCD monitors that I can hook up to a beagle board with power consumption along the lines of 2 Watts, I'd very much appreciate it. The lowest power one I could find was on newegg was 23 W max (a 15" HP.) I haven't crawled the web for a 15" LED display, but I imagine they must be expensive.
And what's the point in comparing max power consumption/TDP? When an atom netbook is at max power consumption, it is playing a sophisticated game like Rise of Nations or a movie at higher than DVD quality. Your beagle board or N800 can't do that. I had a Nokia N800 and sold it. I had to transcode most DVD quality videos to play them smoothly even with mplayer. The web browsing was slow, even after the diablo update. The web browser was not full featured as I did not have things like the firefox places menu. I had to launch a 3rd party app to watch youtube smoothly. Flash heavy sites were especially painful, and a faster flash plugin can only help so much. And my Eee 901 with an atom has yet to burn my lap, and I can't possibly imagine it burning my hands.
I look forward to the next generation Nokia Internet Tablets with hardware accelerated video, a faster ARM core, and a more advanced web browser though. I especially eagerly look forward to the Cortex A8 powered netbooks. A 2 to 3 W max SoC in exchange for much more power, including HD video capabilities, is very much welcome.
But putting PDA-like guts in a netbook (with a tiny battery and a screen that is smaller than the case) only makes sense if you are selling it for less than $200. It only makes it a little bit more green. When a $200 to $250 Cortex A8 netbook with 10+ hours of battery life comes out in 3 to 5 months, I will likely buy one. I'll embrace both Ubuntu and Android on it.
But as for this Skytone, simply put, this isn't the Android we're looking for. Move along.