Dell has announced that it will launch its first Chromebook early next year, following in the footsteps of its larger domestic rival Hewlett-PackardGoogle (GOOGL -1.97%) has continued to grow its stable of Chromebook manufacturers throughout the year, and Microsoft (MSFT -2.45%) has clearly taken note. The Dell Chromebook 11 (not to be confused with the HP Chromebook 11) will target the education market and is expected to price below $300.

The numbers still suggest that Chromebook's threat to Microsoft's Windows empire is small but growing. Of the top five PC vendors in the world, three of them already ship Chromebooks and the other two have Chromebooks in the pipeline for next year. If Chromebooks are indeed to see a wave of consumer adoption, it will begin with OEMs that start to offer devices. Chromebooks still can't be primary computing devices, considering current usage patterns, but that may change in the long run. Microsoft is safe -- for now.

In this segment of Tech Teardown, Erin Kennedy discusses Dell's new Chromebook with Evan Niu, CFA, our tech and telecom bureau chief.