Due to advancements in technology, component prices are coming down allowing manufacturers to sell Android tablets for less than $100 and still gain profit.

Latest reports and surveys indicate that a number of low budget Android tablets will be launched in the third quarter of this year. These tablets are expected to be very economically priced, most of which will be priced at $99 and are expected to give a decent Android experience to low and mid-segment consumers who do not want to spend a lot on tablets.

DigiTimes claims that there will be not one, not two, but a number of 7-inch Android tablets that will be launched later this year, and most of these tablets will cost just about $99. One such tablet is the Asus Memo Pad HD which will have a very low price tag, but not exactly $99. The Asus Memo Pad HD is a 7-inch Android tablet with 8GB of internal storage space. It is being said that this tablet will be launched with a price tag of $129.

DigiTimes said, “many brand vendors are interested in how Asustek was able to offer its tablet at US$129 and feel pressured by the price.” And as result of this, DigiTimes estimates that there will be Android tablets even cheaper than those priced at $129. The estimate says that 7-inch tablets will be priced as low as $99.

The estimates made by DigiTimes are not only based on the current costs of low range Android tablets, but also the components cost. Due to the advancements in technology, component prices are coming down and as a result of this, many tablet manufacturers will be able to gain good profit even when they sell their tablets for less than $100.

There have also been rumors which say that Google is planning to launch an economic version of the Nexus 7 tablet. This tablet might not be as powerful as the other versions that Google might have planned, but it will cost only about $99, which would be a steal for consumers.

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