HP and Acer are battling it out in a price war over netbooks as part of the battle for hearts and pockets in the US back-to-school sales season. Acer slashed prices on its Aspire one netbooks on Friday to $329 for one version, while HP hit back with across the board cuts on its ranges.

Asustek Computer and Micro-Star, which are the other big names are likely to have to follow.

Mini-laptop mobile PCs designed for mobility, and typically weighing less than two kilograms have been really popular with the school market.  The batteries last longer and they can be used for most schoolwork.

HP is offering reductions of $100 on some versions of the Mini-Note throughout August.  The biggest savings are amongst the more high end gear. The HP Mini-Note 2133 KR948UT has been cut to $789 from $949, while the lowest-priced Mini-Note running Windows Vista Home Basic is the KX868AT, which costs $599, down from $786.

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