After actually using a netbook today (an Asus model), I must say I don't see the love of this platform. You can find a lot of PC notebooks around for about $500 that don't cramp the keyboard down to a size that only kids can use. I can't tell you how many times I hit the F2 and delete keys when aiming for a row below.
What does this tell me? Netbooks may be good for your VERY casual user who has never owned a computer, who hunts and pecks for keys, or who has very tiny hands.
The design easily said "this ain't Apple" with what I guess is the battery pack sticking out in the back. But the rest of the design was OK for a $400 computer. The use of the decades-old analog monitor output was kind of comical. No, I wouldn't expect a monster DVI out, but why not HDMI or DisplayPort? I mean DP is a STANDARD, right? However, seeing more USB ports on this thing than on my then-$2000 MacBook Pro irked me. But I guess with ExpressCard I can add two more.
So Apple would have a lot to do to not make such a product a waste of money. $800 still doesn't say "netbook," but if it uses a touch interface then maybe it's in the area. I don't understand why these things have to be SO TINY. I mean couldn't Apple just develop an underpowered MacBook (Atom CPU, integrated video, 1GB RAM, small hard drive, no optical drive) and drop the price down about $300? Then you have an actual keyboard and don't have such a tiny screen. It should save production costs (no completely new case needed, no extra screens needed) and you can boast the 13.3" screen.