Global shipments of the second-generation Nexus 7 through the end of 2013 are estimated at 3.5 million, mainly because the model will not be launched in the China market and there is competition from other 7-inch tablets, according to sources with Taiwan's supply chain.
The sources pointed out that the new Nexus 7 is unable to enter the China market due to Google's decision to quit the China market in 2010 after the US company refused to comply with some of China government's Internet policies.
The fact that the new Nexus 7 is co-branded with Asustek Computer is unlikely to help convince the China government to let the device enter its markets, the sources believe.
The new device is expected to be availabe in Taiwan as early as September.
Asustek China has noted recently that if China consumers need after-sales services for the second-generation Nexus 7 products they purchase abroad, the company will charge service fees.
Asustek has been promoting its entry-level 7-inch MeMO Pad HD 7 in the country for CNY1,299 for the 16GB model and the device is currently the company's best selling product.
The first-generation Nexus 7 has shipped six million units in total so far since it was launched in July 2012.
Asustek shipped 5.7 million tablets in the first half of 2013 including the volume for the first-generation Nexus 7. To achieve its annual shipment goal of 12 million tablets for 2013, it will have to ship 6.3 million more. Taht means, apart from the 3.5 million second-generation Nexus 7s, Asustek will need to ship at least 2.8 million own-brand tablets in the second half to ahieve the 2013 goal. |