ASUS CEO Explains Price Rise Rumor: Bigger LCDs Pushing Averages Up

ASUS CEO Jerry Shen has clarified the recent rumors about notebook and Eee PC price increases.  Asked during the ASUS financial conference call today whether the company would be raising notebook and netbook prices by 20-percent come March 1st, Shen told listening press and analysts that the reported increases were in fact based on the average price of the Eee PC rising in the shift from 9- to 10-inch screen sizes.

Full Shen quote after the cut

"Actually, the price is based on market competition so until now, for the netbook, the product shift from nine-inch to ten-inch models will help in Q1. So most of the product will be ten-inch based and so the price will be a little bit higher than the nine inch. But that's based on the [move from nine to ten inches], not on the original price.

And for the notebooks, actually, there's a lot of inventory from our competitors, so there's no way to raise the price much" Jerry Shen, CEO, ASUS

The quote comes across as a little cryptic on first reading, but unless we've mis-interpreted it, it looks as though Shen is saying that as the company transitions to more larger-screened netbooks, so the average price of Eee PCs overall rises.  Obviously you'll pay more for a netbook with a bigger display; individual models themselves won't get more expensive.

As for notebooks, pressure on ASUS from their rivals seems to be the main cause for keeping prices low.  In the end, you may be paying a little more for your Eee PC, but you'll be getting extra screen inches to show for it.