c|net states in a recent article that Google is working with slim margins with their new tablet device.
I think the deeper impact will be the loss in sales that Apple will suffer over time. Apple’s weak point in their tablet market dominance has been with pricing. The iPad clearly a superior device is fairly expensive. The company would be better served adjust price points and may well be forced to soon. Many willing purchasers simply cannot afford to pay the premium prices that Apple products demand ans seem to require. Google’s new Nexus 7 attacks Apple’s iPad at exactly at that weak point.
I think Google’s strategy is more one that propels Google and Android to become a major player in the tablet/slate game and then somewhere down the line look back to see what plays out from there. An early successful entry product that masy just be a loss leader does exactly that.
In terms of a long range entry strategy I see no fault in it. It benefits financially strapped users at a fragile time in the ailing economy.
Budget strapped users get a real good tablet, new markets with declining budgets, such as education, can develop make purchases and consider new capibilities, developers will probably see increased vertical markets for which they can develop solutions so almost everyone wins, everyone except Apple and maybe that’s the point..