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10.07.2012
Google pays extra to each Nexus 7

Mobile Devices in the Google offer are only a nice addition to a wide range of online services offered by the giant from Mountain View. The summary of production costs and prices of Nexus 7 (8 GB) seems to confirm this.

- At least in case of the version with 8 GB of internal memory it may seem that Google pays extra to sell each tablet. Although at the time of release it was declared that Nexus 7 does not bring the company any earnings, but a quick calculation might suggest that each tablet is sold at a loss.

Trifles in the Google offerTrifles in the Google offer
photo: Google

The list of component published on TechInsights allows to estimate the aggregate cost of components for $ 184. The 8GB version is sold for $ 199. There remains a $ 14 difference, which is unlikely to be sufficient for all the costs associated with marketing and logistics, not to mention a margin for the seller.

At first glance it seems that the situation is brilliant for customers. After all, you can buy a great machine at a very attractive price. The point, however, is that such actions can lead (and often lead) to the complete disappearance of the competition and the withdrawal of other producers from the market. Google can afford it: makes money on its services. Tablets and smartphones are just a bait for customers. Let's remember also that the 16 GB version costs about $ 50 more. $ 50 for 8 GB of ROM? 8 GB NAND flash memory costs about $ 8. Therefore, buyers of a more expensive version may finance the part of the tablet to these poorer ones?

On the other hand, the total cost of Kindle components, Amazon's flagship reader, last year amounted to $ 185 when the price for buyers reached $ 201. It is also a slight difference. Amazon also earns mainly on services and, like Google may use the money by way of dumping.

The great manufacturers are learning. Therefore, almost all of them with the better or worse result are trying to tie buyers with services. That's why we are dealing with a progressive fragmentation of the market of mobile services and goods. It would be good for us to remember: buying a specific device we depend on the service provider and we personally assume the leash around our neck. It is worth choosing wisely, guided by our needs, so that the leash disturbed us the least, or to join the still sizeable group of those who prefer a simple communication device, and never have to worry about Apple Store, Google Play, Samsung Apps, or Ovi.

Source TechInsights and Fudzilla; viewed: 2260 times.


By:
Monika Krasicka-Kulińska



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