This machine was purchased after I lost my Asus eee. The main use for it is travelling on long haul flights so battery life is important and I'm happy to say that I can use it for at least 7 hours watching videos. The performance is adequate for the task, I was originally getting glitches in playback of DIVX files, but this was resolved after I removed the Windows Indexing facility. I've replaced it with Google desktop search which is much kinder to the hard drive and no more glitches as a result.
I'm planning to upgrade the memory to 2GB which I believe will further improve performance and will be a good investment of £30, but overall a great little PC, I would rate this very highly, the only real downside is the speakers which are not very powerful, even a cheap pair of headphones is a vast improvement, and on a flight I use headphones anyway. The amplifier output is very good and you only need the volume up at about 25%.