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[Ozymandias]

So I woke up to a note from my wife wanting a new laptop:

I would really like something that folds over like a notebook and you can use a stylus to write on. I've seen some where you can write on it and then it converts the handwritten notes into text. That would be really handy for class.

I don't even know where to begin for that sort of computer though. I need a starting point.

[bicostp]

What does she want to run on it? Does it need a high end CPU and GPU?
Does she want pressure sensitivity (better for digital art like a Wacom), or just a regular touchscreen (cheaper)?
What's your budget?

Windows 7 Home Premium (and greater editions) comes with handwriting recognition built in, so that's one less thing to worry about.
http://windows.microsoft.com/en-US/windows7/products/features/tablet-pc

[Ozymandias]

Art capabilities not necessary, high end unnecessary, cheaper preferred. She just wants to be able to browse the internet and take notes in class basically.

[KvP]

Well if she wants to use a stylus then she'll need a resistive rather than capacitive touchscreen, which should be a bit cheaper since it's last-gen. I'm not aware of any netbooks that feature one, but there should be some.

[bicostp]

Here's a Lenovo Ideapad convertible tablet PC. Aside from the touchscreen, it has the same hardware as any other current netbook. Unfortunately it comes with Windows 7 Starter, which doesn't have all the fancy touchscreen addons like character recognition. To get those you would have to either get a Home Premium Anytime Upgrade key ($70) or find third party software which provides that functionality.
http://www.newegg.com/Product/Product.aspx?Item=N82E16834146704

Here's NewEgg's tablet PC department if you want to look at other models:
http://www.newegg.com/Store/SubCategory.aspx?SubCategory=407&name=Tablet-PCs