Many people have been made baffled by why on earth did Google price its Tegra 3-equipped

Nexus 7 tablet for only $199 (the 8GB model

) with a bonus of FREE $25 gift card to spend on Google Play Store. Well, the reason of their curiosity is because Nexus 7 is the first 7-inch Android tablet that has such incredibly decent specs in its machine. From the 1.3GHz Tegra 3 quad-core processor, the 12-core GPU, the 1GB of RAM, 1280x800 pixel screen resolution with pixel density of 216 ppi, until the promised of 9 hours battery life in video playback.

And having all of these mind blowing stuff packed in $199 price tag is just hard to swllow for some people. They suspected that, just like Amazon with its Kindle Fire,

Google was willing to take loss of each Nexus 7 tablet sold

 and would make the profits later on by selling additional contents on Google Play Store.

Well, apparently, they all were wrong. Actually, all the parts that being used to assemble the 8GB model of Nexus 7 only costs around $184. However, that $184 total cost to make Google Nexus 7 doesn’t include the cost for research and development for the device, including the future promotion. So, Google apparently doesn’t take any profit from selling the 8GB model of Nexus 7, neither takes any loss of each tablet sold.

This is contradicted with Amazon that has to take loss of every Kindle Fire unit sold because all the parts that are used to assemble 1 Kindle Fire unit actually worth around $202 and Amazon is willing to sell the tablet for only $199. So Amazon needs to patch the loss and make profits by selling contents through its App Store for Kindle Fire users.

However, Google has a secret plan in its mind. As you may know or not, the 8GB model of Nexus 7 only gives you 5.92GB of free storage and it doesn’t support microSD slot (neither does the 16GB variant). So that is the reason why Google also rolls out the 16GB model as the next option to choose if customers are not satisfied with the provided 5.92GB storage on the 8GB model. It costs $50 more expensive than the 8GB model, which is $249.99. so the question that comes to mind, how much profits does Google make by selling the 16GB variant?

Well, the answer can be quite surprising. Apparently, for every 16GB model of Nexus 7 sold, Google makes more money than the 8GB model because the 16GB storage that is provided on the Nexus 7 actually only requires an extra NAND chip that surprisingly only costs $8. The extra $50 that Google asks us is obviously too expensive compared the addition part that only costs $8, huh?

However, on the other hand, having a Tegra 3 quad-core, 12-core GPU tablet with 16GB storage for only $249.99 is absolutely a great deal for customers, even though we already know that the extra 8GB storage only costs $8.

via PhoneArena

The 16GB Variant of Google Nexus 7 is Now Deprived from Google Play Store Due to Strong Demands!

In the recent trend, Google and Asus have been tremendously busy because their recent join-venture effort to make the Google Nexus 7 tablet has seen the device is selling like Justin Bieber’s albums since its first launch. The decision made by Google to make

Google Nexus 7 tablet

 was actually seen by the public as just Google’s new experiment whether it’s gonna do great like Amazon’s Kindle Fire or not.

But turns out, people really love it a lot and the demands for this device are increasing like crazy. It’s proved by how the 16GB model of

Google Nexus 7 is now deprived by Google from Google Play Store because this model is currently sold out

.

The reason of why the 16GB model of Samsung GALAXY Nexus 7 is selling really well in the market is because as we all know, the 8GB model of this device is sold for only $199, which is really cheap for a sophisticated powerful tablet that has Tegra 3 quad-core processor and 12-core GPU. Unfortunately, this 8GB variant only provides users with around 5.92GB of free storage in it, while the rest will be utilized for the tablet system and software.

And we also know that this model doesn’t come with microSD external storage support, so therefore, people, mostly teenagers and adults, will absolutely pick up the 16GB variant because it has much much bigger free storage than the 8GB model (even though it also doesn’t have microSD card support). Many believe that the 8GB variant of Google Nexus 7 will be sold mostly for the kids under age as holiday gifts.

However, if you’re still eager to buy the 16GB variant of this tablet, then it’s recommended for you to try to find this model on some certain stores like Best Buy or Staples. Even though the preorder list of Nexus 7 tablet at those stores might be full right now, there are some possibilities that you can still find 1 or probably 2 units of that model.

So be sure to check out those 2 retailers above and also some other stores at your nearest location if you’re still looking forward to buy this 16GB model. Good luck!!

via PhoneArena

All the Parts Used in Google Nexus 7 Surprisingly Only Cost $151.75, According to iSuppli

Some days ago, UBM TechinSights had just unveiled Google’s little secret, which is about its brand new tablet, the Google Nexus 7. According to UBM, all the parts that are used in the 8GB model of

Google Nexus 7 surprisingly only cost around $184

, but that doesn’t include the additional costs for assembling the tablet, future promotion/advertisement and the research and development costs. So in conclusion, Google doesn’t take any profit nor takes any loss by selling the 8GB variant of Nexus 7.

However, on the other hand, Google apparently makes more money by selling the 16GB variant because this second model is actually made with the exact same cost that is used to make the 8GB model + an extra NAND chip for the 16GB storage that surprisingly only costs $8. And Google sells this model for $249.99.

So the profit margin is surely bigger on the 16GB model of Google Nexus 7

.

But what if the estimation comes from other guys from iSuppli? Well, this might surprise you even more.

Okay, according to iSuppli, all the equipments that are assembled in the Google Nexus 7 surprisingly only costs $151.75, while the 16GB model even more surprising, it only costs $159.25. And just like UBM, the cost doesn’t include future promotion, assembly, research and development, or any other related expenses.

So the question that comes to mind, why the discrepancy between the prediction from UBM and iSuppli can be that huge. Apparently, the estimation from UBM was actually made without doing any physical or technical access inside the tablet, so it’s kind of a random guess.

On the other hand, the guys from iSuppli really disassemble all the parts inside the Google Nexus 7, so they can come up with more accurate estimation.

So there you have it. Which one do you trust more doesn’t really matter that much because having a
“Tegra 3 quad-core processor + 12-core GPU + 9 hours of battery life” tablet in just only $199 or $249.99 is just something impossible in the recent trend of tablet market. I mean, with those cheap price tags, you’ve got a powerful gaming device that has a super fast lag-free performance. So, Google Nexus 7 is no doubt a still worth buying tablet for sure.

via PhoneArena