Originally Posted by KC Fish
Google is already significantly limiting their profit with the Nexus line.
Dropping the price even more is great for the market overall, but I can't think Google can/would continue to lose more money on it by going with a lower price point. I mean, they obviously have the equity to absorb it right now. But eventually they need to make some money to justify the market participation and encourage further inovation.
To be clear, Google does NOT lose money on the Nexus 7.. they don't make a whole lot, but it isn't sold at a loss. The rumor is that they will release a Nexus 7 II with better specs at the $200 price point and discount the old one (or have a new stripped down one) at $99. But it is a completely unfounded rumor, just some random dudes guessing at this point.
If by some miracle they do release a decent $99 tablet... or hell even a $149 tablet.. they should sell the bejezes out of them if they aren't total crap on the specs.