We got DS a Stream and he was very happy with it to start with, but it died within months. First the screen went - they replaced this as it was under warranty, but it meant he was without a laptop for over a week, at a time when he really needed it (mock 13+ exams). Then the entire thing died, just a couple of weeks after we got it back. PC World/Curry's, where we bought it, said that these cheap lightweight PCs are really only for recreational use and can't cope even with regular word processing etc. For context, DS was pretty much only using it as a Word processor as it was too slow for any online research etc - he continued to use our home computer for that.
We ended up spending a fortune on a lightweight "proper" PC as he isn't able to lug around a heavy 15" screen one (there is a physical reason why he needs to use a laptop). Not ideal, but he'll hopefully have it all through secondary school (and yes, we've insured it to the hilt). At least PC World gave us a credit for the useless Stream (as they'd advised us to get it in the first place!) which we were able to use against the new one.