Consumer Electronics
Google to Launch $150 Tablet in Late Spring (GOOG, AAPL, AMZN)
Published:
Speculation continues to grow that Google Inc. (NASDAQ: GOOG) will release a tablet device later this year and join the gaggle of competitors chasing the iPad from Apple Inc. (NASDAQ: AAPL). The New York Post reports that the search giant plans to roll out a branded tablet that will be priced at $150, undercutting the $199 price of the Kindle Fire tablet from Amazon.com Inc. (NASDAQ: AMZN).
Taiwan’s Digitimes also reports today that Google will release a 7-inch tablet manufactured by Asustek in the May-June timeframe at a $199 price point. All that means is that other tablet makers will have to lower prices and nobody will make money. Except Apple.
According to Digitimes, PC tablet profit margins run at about 10%-15%. Many observers believe Amazon is losing money on every Kindle Fire it sells. If that’s the case, Google is likely to lose even more money on a lower priced tablet. That’s not a business model with legs.
Paul Ausick
Get Ready To Retire (Sponsored)
Start by taking a quick retirement quiz from SmartAsset that will match you with up to 3 financial advisors that serve your area and beyond in 5 minutes, or less.
Each advisor has been vetted by SmartAsset and is held to a fiduciary standard to act in your best interests.
Here’s how it works:
1. Answer SmartAsset advisor match quiz
2. Review your pre-screened matches at your leisure. Check out the advisors’ profiles.
3. Speak with advisors at no cost to you. Have an introductory call on the phone or introduction in person and choose whom to work with in the future
Get started right here.
Thank you for reading! Have some feedback for us?
Contact the 24/7 Wall St. editorial team.
Latest from 24/7
