The deal, reported to be worth $250m, would make Libya the first country to officially place an order for the 2B1 laptops.
OLPC has said that five to 10 million units would need to be pre-ordered before full-scale production and distribution could begin.
The OLPC project was founded by Nicholas Negroponte and officially unveiled in 2005. The goal is to provide the low-cost machines as a way of linking children in developing countries to educational resources on the internet.
The prototype designs of the 2B1 run on a low-power AMD processor and carry 128MB of RAM. Current plans are for the computers to run a Linux operating system, and to have manually rechargeable batteries.
A pilot for the project is scheduled to begin in early 2007 in Brazil, Argentina, Libya, and Thailand.
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