The new offering will still fall under the Vaio name (Vaio W). This confusingly named product will run similar to most other netbooks. The Vaio W will have an Atom N270, 160GB HDD, 1GB RAM, Windows XP and the rest of the usual trimmings.
What is different is the price, Sony is asking for $500 for this 10.1-inch book. I am not really sure if this is going to be worth it for most as you can get a similarly speced netbook from a couple of different vendors for much less.
Read more here