> If you go through the netbook models currently available on the market they are very similar to the initial 10 inch netbooks.

Blame Microsoft. They dictated a set of maximum hardware specifications that netbooks had to conform to if they wanted a reasonably-priced license for Windows. Netbooks can't advance any more quickly than Microsoft wants them to, and MS has little interest in promoting cheap laptops.

I know it's popular these days to claim that Microsoft never deserved their reputation as a bully-boy, but this is an example where the Windows monopoly has a real, damaging effect on innovation.