By Vamien McKalin | Apr 04, 2013 10:06 AM EDT
According to two sources who spoke with Reuters, Google plans to introduce a second generation Nexus 7 in July of 2013. The device would be Google's latest attempt at stealing market share from Apple to help bolster Android's relevance in the tablet space.
Once more, Asus will take pole position here, by producing and assembling the second-generation Nexus 7. Furthermore, Qualcomm's Snapdragon chip is rumored to replace the Tegra platform by NVIDIA; however, it is not certain why Google would go this route unless the new Snapdragon chips give better performance with less strain on the battery.
It's good news for Qualcomm if it's true, as Google is planning to sell over 8 million Nexus 7 units by the end of 2013. For that to happen, Google would have to sell the device at a very reasonable price, but Reuters sources are not completely sure of the pricing. They did mention though, that it could cost $199, while the older Nexus 7 would see its price slashed to $149.
The sources claim the second-generation Nexus 7 will have a thinner bezel and a higher resolution display for those folks who were complaining the first time around. Apart from that, nothing else is known about the Nexus 7 specifications. It is certain, though, that Google and Asus might want to out-match the iPad Mini while selling the device at a more affordable rate.
"This is the 'zero margin strategy'," said Fubon Securities analyst Arthur Liao. "Ninety-seven percent of Google's revenue comes from advertisement, so it needs to sell more mobile devices in order to reach more consumers."
Google had relatively good success with the first Nexus 7, however, it wasn't good enough to stay up there with the iPad Mini or the Amazon Kindle Fire. Whatever Google is planning, it has to come up with a good and well-thought-out plan to keep the new Nexus 7 afloat.
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