While this should have been done years ago—I guess there wasn't much of a market in children's education in the developing world—Intel has announced a reference model for the lil nippers called the Eduwise. It seems that, unlike the UMPC, Intel will actually be producing these $400 laptops en masse and they will run Windows or Linux. They also released an application so teacher can keep tabs on web-surfing in the classroom. The overall package snaps shut and has a carrying handle.
Not many specs right now, but we'll hunt. Our suspicions draw us to believe that this is running a stripped-down version of the UMPC chipset.
Intel builds $400 laptop for school desks worldwide [ZDNet]
Intel Reveals Low-Cost Laptop [Sagags]
Intel unveils mobile personal computer [Boston Herald]