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Google makes no money on the sale of Nexus 7 tablet.

The long rumored Google Nexus 7 tablet went official this week. AllThingsD reports that developing the tablet was no easy task according to ASUS chairman Jonney Shih. The first big challenge was the timeframe; Google reportedly only gave ASUS four months to build the tablet.
Couple that short timeframe with the fact that tablet had to sell for right at $200 along with the demands of building something from massive company like Google and you can see why this was a tall order for ASUS. “Our engineers told me it is like torture,” Shih said in an interview on Wednesday, shortly after the Google-ASUS joint project was announced. “They [Google] ask a lot.”
“I don’t think there would have been any other partner that could move that fast.,” Andy Rubin told AllThingsD. “We went from zero to working product in four months.”
Rubin talked about the lackluster sales of Android tablets overall saying that the missing piece to the puzzle of why Android tablets weren't selling well initially was that they lacked an ecosystem. He says that Google lacked a full complement of TV shows, movies for purchase, magazines, and other content the people expected on the tablet. “I think that was the missing piece,” Rubin said.
Shih and Rubin believe that the Nexus 7 can serve as a full-fledged tablet computer while being able to compete with the Kindle Fire on price. The tablet has a laminated display, a quad-core NVIDIA Tegra 3 processor, and a seven-inch IPS unit with a 1280 x 800 resolution. Google will offer the Nexus 7 in 8 GB or 16 GB versions and both have a 1.2-megapixel front camera, accelerometers, GPS, Bluetooth, and integrated Wi-Fi.

In short, the tablet offers significantly more features than the Kindle Fire for the same price. It's also worth noting that Ruben says the tablet is sold at cost.
“When it gets sold through the Play store, there’s no margin,” Rubin said. “It just basically gets (sold) through.”

Source: AllThingsD

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RE: Given away
By tayb on 6/28/2012 12:28:05 PM , Rating: 2
No, it's not. It's nonsense. It's a tablet that competes with other tablets. Do you not think that 13" notebooks compete with 17" notebooks? What a silly notion. Of course it is competing, it's a tablet.

RE: Given away
By Totally on 6/28/2012 12:47:25 PM , Rating: 2
I agree a tablet is a tablet, but 13" and 17" laptops never competed directly with one another never will, they're on opposite ends of the spectrum one being a desktop replacement and the or gear towards high portability.

RE: Given away
By Spuke on 6/28/2012 12:55:49 PM , Rating: 2
No, it's not. It's nonsense.
Nope, what you say is nonsense. See I can say that too. Both of you are incorrect. Tablets are NOT tablets. 7" and 10" market is different mainly due to price and desire for viewable area. If they were the same then Apple would already have a 7". Anecdotal but I know a LOT of people that don't see the point of a 7" tablet AND most people know exactly what size they want when shopping for a tablet. It's just like the 13" and 15.6"/17" laptop markets. People wanting a 13" are mainly interested in portability and won't get a larger screen because it limits that. That's TOTALLY different than the larger screen market.

RE: Given away
By tayb on 6/28/2012 2:56:38 PM , Rating: 1
Tablets are not tablets? Oh, okay? Here I was thinking the 7" tablet was a tablet just the same as a 10" tablet was a tablet. Perhaps I am mistaken.

I guess in your eyes a sedan does NOT compete with an SUV because, uh, it's different! No one would EVER consider an SUV that was considering a sedan.

RE: Given away
By augiem on 6/28/2012 11:06:37 PM , Rating: 2
It's up to the individual. I have a 10" tablet. I'd prefer a 7" instead because it would be easier to hold. I would do the same things on either size. In my mind for my purposes (web, netflix, casual apps, etc., which just happens to in line with the majority of the market) they are the same thing. So unless you're someone with a very specialized use of a tablet (POS, medical, engineer), a tablet is a tablet. Now if you want to talk conductive pen vs capacitive finger touch, that's a different story.

“So far we have not seen a single Android device that does not infringe on our patents." -- Microsoft General Counsel Brad Smith
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