Nokia, the world's top handset maker, said it plans to sell a 10-inch laptop to compete in the fiercely competitive, but fast-growing netbooks market.
The Espoo, Finland-based company said its first netbook, the Nokia Booklet 3G, weighs just 2.76 pounds, uses Intel's Atom processor and runs Microsoft's Windows software.
The aluminum mini-laptop comes with a 10-inch glass display, HDMI port for HD video out, a front facing camera for video calling, Bluetooth and a SD card reader.
Other features include integrated A-GPS, built-in 3G and Wi-Fi connections and up to 12 hours of battery life.
"The computer will include a hard drive and a glass display capable of showing high-definition video, making it a higher-performance device than a stripped down netbook," said Kai Oeistaemoe, Nokia's Executive Vice President of Devices.
In a bid to bolster sagging sales, phone makers and carriers have increasingly looked for new revenue streams outside the saturating handset market.
Apple is working on a "media pad" device that would let users listen to music, view photos, watch high-definition videos and make calls over a Wi-Fi connection.
T-Mobile has linked its wireless network to utility "smart meters" while Sprint is in talks with consumer gadget makers such as Garmin, SanDisk and Eastman Kodak about delivering wireless Internet service for their products.
The Booklet 3G is Nokia's first foray into PCs since selling its desktop personal-computer business in 1991.
The struggling company has reported declines sales amid the economic downturn and increased competition from Apple's iPhone, Research in Motion's BlackBerry and Google's Android platforms.
Last month, Nokia and Microsoft reached a deal to make a mobile version of Microsoft Office that works on devices made by the Finnish handset maker.
Nokia said it would release detailed specifications, market availability and pricing next week.
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