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Nexus 7 with 3G listed on retailer's site: will Google price it right?

With rumors about a Nexus 7 3G accumulating, we look at the probable price tags of the Nexus 7 models that Google is expected to unveil on Monday. Will Google manage to undermine the iPad mini and the Kindle Fire HD?
October 26, 2012

The Nexus-related leaks have been coming furiously over the last 24 hours, not that we’re complaining. After all, the grand event where Google is expected to unveil its latest creations is less than three days away, so it would be odd if there weren’t any leaks.

Here’s the latest one. Paul O’Brien of MoDaCo has brought to our attention news about the 3G-equipped version of the Nexus 7, which went up for sale on a Latvian retailer’s site. While retailers have been known before to put up placeholder specs and prices, this report is interesting because it can provide us a clue about the price tag of the 3G Nexus 7.

The site offers the Nexus 7 16GB (no 3G) for 169 Latvian Lat, which is the equivalent of about $314 or €242 at today’s exchange rates. Meanwhile, the Nexus 7 32GB with 3G costs 219 Latvia Lat, which is $406 or €315.

Let’s analyze these prices for a minute. First off, the 8GB version is nowhere to be seen, which is consistent with many previous reports. The 16GB model will take the place of the 8GB model as the base configuration. The 8GB model is gone from the Play Store, and some retailers have already slashed the price of the 16GB model ahead of Monday’s event.

The retail listing is consistent with other leaks and reports that we’ve seen in the past few days. European prices are typically higher than the prices in North America, due to taxes and customs. So the $406 price tag of the 32GB Nexus 7 could be something like $349 or even $299 in the United States. In line with our prediction from a couple of weeks ago, the 32GB Nexus 7 with no 3G would cost $249, while the 16GB version would be $199. We haven’t seen any news about a 16GB model with cellular radio, but we don’t see why Google wouldn’t offer it.

To summarize, here’s how we think the new Nexus 7 range will be priced:

Nexus 7 16GBNexus 7 32GBNexus 7 16GB 3GNexus 7 32GB 3G

At these prices, the Google Nexus 7 would have a massive price advantage over the iPad mini, which is, let’s face it, the elephant in the room. For instance, the cellular iPad mini 32GB costs a whopping $559, which would be at least $210 more than the similar Nexus model. Heck, you could buy two Nexus 7 tablets for the price of one iPad mini. It’s a difference that few shoppers would ignore.

With the new Nexus 7 models, Google would also emerge on a consolidated position against its other enemy, Amazon. The non-cellular models of the Kindle Fire HD 7” cost the same as the Nexus 7, but Amazon doesn’t have a price competitive device in the 3G-equipped segment. The 8.9-inch Kindle Fire HD with 3G costs $499, though it does come with a data plan.

I hope that Google can keep the prices in check and undermine Apple and Amazon where it really counts – the price tag. The Latvian retail listing says that the Nexus 7 32GB with 3G would ship on November 11. But regardless if the listing is legit or not, we’ll see a new Nexus 7 in a matter of days.

Are you interested in getting a Nexus 7? Do you think our estimations are correct? Let us know.