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See the best of Reuters photography. See more | Photo caption Raging firestorms Firefighters battle raging wildfires in Colorado and Utah. Slideshow Debby slams Florida Florida declares a state of emergency due to flooding. Slideshow Google goes up against Amazon, Apple with Nexus tablet Tweet Share this Email Print Related Topics Tech » Media » iPad » Related Video What the Nexus 7 tablet says about Google's strategy - Tech Tonic 4:30pm EDT Hugo Barra, director of product management of Google, unveils Nexus 7 tablet during Google I/O 2012 Conference at Moscone Center in San Francisco, California June 27, 2012. Credit: Reuters/Stephen Lam By Alexei Oreskovic and Poornima Gupta SAN FRANCISCO | Wed Jun 27, 2012 4:55pm EDT SAN FRANCISCO (Reuters) - Google Inc will sell its first tablet from mid-July for $199, hoping to replicate its smartphone success in a hotly contested market now dominated by Amazon.com Inc's Kindle Fire and Apple Inc's iPad. Google hopes its maiden entry in the tablet market, which will also see the advent of Microsoft Corp's Surface this year, will accelerate development of tablet-specific applications for its Android operating software and help it make headway against rival gadgets. The "Nexus 7" tablet, built by and co-branded with Taiwan's Asus, was one of several gadgets unveiled at its annual developers' conference on Wednesday, as the Internet search and advertising leader dips its toe into the intensively competitive consumer arena. Google co-founder Sergey Brin demonstrated Google Glass, a futuristic-looking eye-glass-computer that can live-stream events, record, and perform computing tasks. The device will be available to U.S.-based developers for $1,500. And it unveiled the Nexus Q -- a $300 device with a built-in amplifier that lets users stream content from Android devices onto their TVs. But the Nexus tablet hogged the spotlight. Sold initially only on the Google Play online store, its $199 price tag and 7-inch stature is aimed squarely at the Fire, but the Nexus has a front-facing camera while Amazon's tablet does not. Analysts consider the Fire a window into Amazon.com's trove of online content rather than an iPad rival, given the $499 that Apple asks for a device with a "retina" display that far outstrips it in terms of resolution. Google can similarly use the Nexus 7 to connect to its own online offerings, which include YouTube and Google Play. It will go after more cost-conscious users who might shun the pricier iPad. "They all but called it a Kindle Fire killer. They're clearly gunning for that No. 2 spot behind Apple's iPad that is currently occupied by Kindle," said Altimeter Group analyst Chris Silva. "But the con is they do not yet have a footprint in people's minds and wallets as the go-to place to purchase and consume media." JELLY BEANS Shares in Google gained 0.8 percent to $569.37 in afternoon trade. The Nexus will feature the new 4.1 "Jelly Bean" version of Google's software, as well as a front-facing camera, a 1280x800 resolution screen, and an Nvidia Tegra 3 processor. Google's Android software is the No. 1 operating system for smartphones, with about 1 million Android devices getting activated every day But it has struggled to compete with Apple's iPad in the market for tablets, largely because it lags far behind Apple and Amazon in terms of available content and tablet-specific applications, such as games. Executives showcased the new 4.1 "Jelly Bean" version of Android operating system on Wednesday. The new software delivers faster performance, according to the company, and new features such as "voice search." "That range of services will be the secret to stitching together this rag-tag fleet of Android gadgets into a platform that can compete with Apple for minutes of users' attention rather than premium device dollars," said Forrester analyst James McQuivey. The tablet's limited availability -- executives said they had no plans yet to expand distribution beyond Google's own site -- may curtail initial sales growth. Google briefly sold a specially designed Android smartphone - the Nexus One - directly to consumers in 2010, but closed the online store after four months saying it had not lived up to expectations. But it's the lack of "native" applications -- software designed with a larger tablet in mind, rather than ported from smartphones -- that is the Nexus' biggest impediment for now. "Unless you have a strong app offering, for a consumer it is a piece of glass that does what a phone does on a larger screen," Carolina Milanesi, analyst at Gartner Research. (Editing by Tim Dobbyn, Gary Hill and David Gregorio) Tech Media iPad Related Quotes and News Company Price Related News Tweet this Link this Share this Digg this Email Reprints We welcome comments that advance the story through relevant opinion, anecdotes, links and data. If you see a comment that you believe is irrelevant or inappropriate, you can flag it to our editors by using the report abuse links. Views expressed in the comments do not represent those of Reuters. For more information on our comment policy, see http://blogs.reuters.com/fulldisclosure/2010/09/27/toward-a-more-thoughtful-conversation-on-stories/ Comments (2) dotap wrote: Edition: U.S. Africa Arabic Argentina Brazil Canada China France Germany India Italy Japan Latin America Mexico Russia Spain United Kingdom Back to top Reuters.com Business Markets World Politics Technology Opinion Money Pictures Videos Site Index Legal Bankruptcy Law California Legal New York Legal Securities Law Support & Contact Support Corrections Connect with Reuters Twitter Facebook LinkedIn RSS Podcast Newsletters Mobile About Privacy Policy Terms of Use AdChoices Copyright Our Flagship financial information platform incorporating Reuters Insider An ultra-low latency infrastructure for electronic trading and data distribution A connected approach to governance, risk and compliance Our next generation legal research platform Our global tax workstation Thomsonreuters.com About Thomson Reuters Investor Relations Careers Contact Us Thomson Reuters is the world's largest international multimedia news agency, providing investing news, world news, business news, technology news, headline news, small business news, news alerts, personal finance, stock market, and mutual funds information available on Reuters.com, video, mobile, and interactive television platforms. 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