New Nexus 7 to be a flop for Google because of Android, says analyst, Moto X to score a home run
He puts the estimate at most between 3.5-4 million second generation Nexus 7 tablets sold, citing lack of innovation on the software side of things. While the hardware has certainly received a nice upgrade over the predecessor, it's the same old tablet-y Android running on it, he argues, which is getting a bit long in the tooth. The high-res display, stereo speakers, more memory and faster processor also raise the price a bit compared to the old version at launch, so that might be another deterrent for people, is his thinking.
At the same time, the tablet landscape is getting increasingly competitive, with Apple reporting a slip in iPad shipments for the first time, and Microsoft going downscreen with 8" and soon 7" Win 8 tablets.
Moto X phone, though, saying that his supply channel and demand checks indicate huge interest in a $300 Google Experience handset with unique features.
He raised his estimate to about 5.5 million units for the handset, up from 3.5 million for last year's Google Nexus 4 phone.
We can agree to disagree with the KGI Securities' analyst about the just-announced Nexus 7, as, like our specs comparison clearly shows, there is nothing like it in that price range, and even for $30 than last year's edition, it is still very cheap compared to the alternatives. Ming-Chi Kuo seems to forget that Google is selling these things at cost, or at best throwing a few percentage points towards the tablet-maker ASUS, with the long-run goal of Android domination, and no other manufacturer can afford that without being punished by the markets.
As for the Moto X, we totally agree that it will be the first device to showcase why Google bought Motorola, and how it will slowly elbow its way into a formidable force in the Android device landscape. What do you think, do you agree with the analyst about the second-gen Nexus 7 being a relative flop?