A few years back Toshiba had the similar size Click Mini. It originally sold for about 400 Euro (although the price came down towards the end of its short life) but with a far lower spec apart from a good HD screen. With an Atom, 2GB RAM and 32GB eMMC it also qualified for Microsoft's cheap OEM Windows 10 deals.
This new device looks like a worthy successor (I still use a Click Mini) but I suspect it will be far too expensive to sell in large numbers.
The OEM is looking to secure funding via Kickstarter to launch one of the smallest Windows laptops around. The Falcon promises USB Type-C, a 1080p IPS touchscreen, and a water-resistant keyboard for what we hope will be an affordable price.