News today on a super duper cheap Asus Eee PC model. No more details such as model number, but Digitimes is reporting that Asus will in fact have a $200 to $250 Eee PC model in June 2011. Wow, how can they do this? Better yet, why would they do this?

The reason for making a move like this is pretty simple. It’s to counter the tablet invasion and the $300 starting price point of the cheap tablets. So from a competitive perspective it makes sense for Asus to do this. You can find the cheapest Eee PC for about $300 now in 2011 but it’s going to get even better.

So how can they do this? Simple. Don’t use Windows OS. Instead this cheap Eee PC will have Android or Chrome OS. I suspect it will ship with Chrome OS as the Android seems geared towards touchscreens. Either way, this cheap model isn’t coming with Windows. I would expect this Eee PC model to have small hard drive capacity but will rely more on cloud based storage. Another cost cutting measure would also be in the battery. I would hope they can achieve a cheap price point while still getting a nice 6 cell battery in it, but only time will tell. Lots more updates coming so stay tuned over the following months.