Are Netbooks good substitutes for a laptop?

A few weeks back, two of my colleagues, after attending a conference, walked in to the office with two tiny computers that were handed out to each attendee. These happened to be mini laptops from HP and DELL. Both were running on linux. Our Engineers checked these machines and playfully mapped the Egnyte File Server as a drive, and presto, these machines, which incidentally were severely "storage challenged", were transformed to what I describe as "Notebook capable" machines. This led to a healthy debate amongst our Product and Marketing guys to evaluate whether there was an opportunity to market Egnyte to the mushrooming Netbooks market. Sure enough, we gathered the market data and learnt how fast this market is growing and how these machines have almost reincarnated the "network computer" of the 80's. These machines are incredibly fast since they run a lean operating system like Suse Linux, Ubuntu or even XP and are perfectly designed for hosted applications. They are seen as underpowered notebooks and used primarily for surfing the web and email. Now with Egnyte On Demand File Server accessible natively from the desktop and with unlimited storage that we provide, I believe that the netbook has the ability to evolve into a vital business tool for mobile workers.