The "hard drive" is actually a series of flash modules soldered onto the board. Even if you're skilled with electronics you'd be crazy to try and replace them.
You can upgrade the RAM (up to 2GB DDR2-667Mhz I believe) so don't let that affect your decision too much.
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Asus doesn't indicate whether it can be upgraded, however, they are planning on selling that PC with several different capacity solid state drives.
http://eeepc.asus.com/en/product.htm
The eee pc does have USB 2.0 ports to allow for the use of flash drives as additional storage.
The "hard drive" is actually a series of flash modules soldered onto the board. Even if you're skilled with electronics you'd be crazy to try and replace them.
You can upgrade the RAM (up to 2GB DDR2-667Mhz I believe) so don't let that affect your decision too much.