Sony makes some great hardware on the PC side. However, with the upcoming netbook announcement at CES in Las Vegas, many question Sony’s understanding of the market. In a market dominated by many netbooks with high end features around $600 and many entry-level netbooks costing around $400, Sony is rumored to be releasing a $1000 netbook according to Electronista.

Netbooks, created as smaller, portable, and cheaper alternatives to full-scale laptops, are designed for people on the go who needs more power than a smartphone could offer but prefer something more compact than a laptop.

Sony’s netbook, with its rumored specs, are supposed to be on the high end. It will feature a high resolution 1600 X 900 display, which some sources have said may be an 8-inch OLED. At its core, the Sony VAIO P netbook model will use an Intel Atom processor, have 3G connectivity built-in (though users will have to pay for monthly service), and GPS.