Analyst: Google Nexus 7 threatens Microsoft Surface, Amazon Kindle Fire, not Apple’s iPad

“Google’s new Nexus 7 tablet will increase competition in the tablet market and threaten Amazon’s Kindle Fire and Microsoft Surface, but isn’t expected to have an effect on sales of Apple’s iPad,” Neil Hughes reports for AppleInsider.

“Analyst Shaw Wu with Sterne Agee believes the key to the Nexus 7, co-developed by Google and Asus, is its aggressive $199 starting price point,” Hughes reports. “That matches the Amazon Kindle Fire, which got off to a strong start when it launched late last year before demand quickly fizzled.”

Hughes reports, “The sub-$200 price of the Nexus 7 is expected by Wu to threaten the Kindle Fire and also give Google’s hardware a “fighting chance in the market.” He also believes Google’s aggressive pricing could also spell trouble for Microsoft’s recently unveiled Surface tablets, set to launch later this year. If Microsoft prices its ARM-based Surface tablet above the $399 entry price of Apple’s iPad 2, Wu thinks it would be a ‘disastrous move.’ …Wu’s take is shared by Brian White of Topeka Capital Markets, who declared that the Nexus 7 is ‘just another Android-based tablet’ that won’t pose a threat to Apple’s iPad.”

Read more in the full article here.

[Thanks to MacDailyNews Reader “Maracopacetic” for the heads up.]

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  1. Haha all these 7″ tablets being introduced and none are a threat to iPad. True, but what if Apple decides to be greedy? If the now quiet rumors of the ‘mini iPad’ are actually true, does anybody have a chance of competing? Haha can’t wait to see where this goes!

  2. What happens to all those ‘non-Apple’ tablet sales if Apple continues to manufacture the iPad 2, once iPad 5 (or whatever it’s called) is released, yet Apple drops the iPad 2 price closer to US$299??


    1. Given Apple’s history, early next year the iPad (2013) will be introduced. The iPad 2 will be discontinued, and replaced with the iPad (2012). However, the iPad (2012) will only be available with minimal memory and Wi-Fi only, just as the iPad 2 is today.

  3. Google showed a product with price and battery life which should actually ship in a few weeks.

    Microsoft could have just shown up with painted cardboard boxes. They didn’t even let anyone use the “magical” keyboard/cover which they couldn’t stop bloviating about during the entire presentation.

    I never dreamed that Google would be able to deliver a tablet faster than MS and its OEMinions. Never in a hundred years.

  4. Andy Rubin of Google, quote, “When it gets sold through the Play store, there’s no margin. It just basically gets (sold) through.”

    All you other Android tablet makers: welcome to Google World. You just got hosed. Deep pocket Google doesn’t need to make a profit on their tablet. Tough luck if you do.

  5. I love how Apple has learned from their mistakes and completely cornered the market. Locking up the materials and manufacturers is the obvious monopoly Apple has created to prevent competition, but they also learned from iTunes and the iPod. Apple learned that with iTunes popularity and large library people won’t buy a 3rd party MP3 player cause it won’t be compatible. The same now goes for the AppStore and the iPad. Apple has millions of users hooked into its ecosystem because they already own and iPhone and apps for it. The simple fact that if I wanted to buy a non Apple Tablet and buy all new apps again is too much of an inconvenience for most people and Apple knows this. The amount of control that Apple has over its userbase is disgusting, but also as genius of a business strategy as Bill Gates with Microsoft.

    1. I hope the Surface does give the Ipad a run for it’s money. These things are way overpriced. We need competition. As an iphone and Windows 7 phone user, I’m not biased in anyway. I just don’t want 1 company to take over and charge more.

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