Walmart is selling a budget laptop for $498. It comes with limited specifications such as a VIA C3 1GHz processor and 30GB harddrive in addition to the fact that it is loaded with Linspire OS, not Microsoft. However, with a USB wireless key connector you can be running most of your internet and productivity applications on a wireless access point... There are other versions available with Windows XP and built in wireless for a bit more ($568). Didn't know if this should go in shopping or computers, but it is interesting nonetheless...
http://www.walmart.com/catalog/product.gsp?product_id=3504708&cat=179113&type=19&dept=3944%20%20#long_descr