NVIDIA's chief executive officer, Jen-Hsun Huang revealed that Tegra 3 tablets coming to the market this summer could cost as little as US$199.
According to The New York Times, Mr. Huang commented that the company is able to put together enough affordable commodity components in the Tegra 3 chips, hence bringing down the overall price of tablets to US$199.
The New York Times - “We took out $150 in build materials, things like expensive memory,” he said. “At $199, you can just about buy a tablet at a 7-Eleven.”
Mr. Huang also shared his views on the Google Android ecosystem and felt that the platform did not develop the way he had envisioned. However, he felt that Windows 8 tablets could become popular.
The New York Times - “Android hasn’t developed as I’d hoped,” he said. “For many people, though, work is still the primary reason to have a computer. They want Windows to work well, they want Outlook to work well. A tablet running Windows 8 with Tegra could be very nice.”
The relatively new low-cost tablet segment is likely to grow in the coming months as Google is reported to be readying its US$199 Nexus tablet for a launch in June. In addition, Amazon is rumored to be updating its Kindle Fire line-up with 7,9 or 10-inch variants. These developments may push the other Android vendors into a price war in order to stay competitive.