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Google, Asus co-brand tablet to take on Amazon Kindle Fire

$199 seven-incher out in May?

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Asus and Google are working on a co-branded 7in tablet designed to take the fight to Amazon's Kindle Fire, but the gadget won't be unveiled to the public before May.

So say unnamed industry sources, cited by DigiTimes, who add that the Android-running tablet will be the first to use Google's new Play online shop.

As such, the gadget will be pitched at the Fire, also a device tied to an online shop as a mobile content acquisition and consumption product.

Interestingly, the moles say Google approached other vendors, including HTC and Acer. Asus was the most happy to punt a low-cost tablet, unworried that the entry level positioning would tarnish its brand.

The Asus/Google tablet is expected to retail for $199-249 (£126-158) before local sales taxes.

Even if the tablet isn't released in May - said to be the "earliest" point at which the launch could take place - it should come in ahead of Apple's rumoured 7.85in 'iPad Mini', said to have been scheduled for Q3. ®

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