It is thought Steve Ballmer wil unveil the touchscreen, slate-style computer during his keynote speech at CES, The New York Times said, citing unnamed sources.
Ballmer will show the device, which is not yet named but will combine multitouch and e-reader functions, the report said. HP will make the device and it could be available mid-year, it said.
An HP spokeswoman declined to comment on the report. Microsoft representatives could not immediately be reached for comment.
See all netbook reviews
See also: First Lenovo 'smartbook' on show at CES