[cmos]

It's hardware. Low margin hardware at that.

And it's about to be eclipsed by a silly (or not silly...) rumour of a tablet that has hardware and software with a serious reputation behind it and a marketing program that involves billions of people.

There was excitement around $300. This can't be made in low volumes and have margin for everyone involved for $300. And who is going to pick up the phone to help me network it to my router? Who is going to pick up the tab for replacing my exploding battery?

Someone got nervous when they all looked around in their three way agreement when it came time for one of them to write the check to make the first couple thousand.