After the promised "$10 laptop" failed to materialize, the Government of India decided to buy 250,000 XO laptops from One-Laptop-Per-Child. The laptops will be distributed to 1,500 schools. More information about the recent purchase here.
Bureaucrats tend to look for easy solutions to education problems. Throwing money at educational technology is very tempting as it is often seen as a quick fix to the failings of an education system (it also attracts good PR, "we're on the leading edge" etc), but it often fails to deliver the promised results. After all, getting good teachers is a much harder challenge.