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Could This Google Inc (GOOG) Tablet Give Apple Inc. (AAPL) a Scare?

Although Google Inc (NASDAQ:GOOG) has a lot of good things happening right now, the company is still looking to make major waves in the tablet market. If it is going to make this happen at some point in the near future, there is one big detail standing in the way: Apple Inc. (NASDAQ:AAPL) and its iPad lineup.

Google Inc (NASDAQ:GOOG), Apple Inc. (NASDAQ:AAPL)Let’s face it: Cupertino has been the cream of the crop in the tablet market since announcing the iPad a few years back.

This doesn’t mean Google will always take a back seat. What it does mean is this: if the search engine giant wants to take over the top spot it has a lot of work to do.

Does Google Inc (NASDAQ:GOOG) have what it takes?

Google is expecting big things from the second generation Nexus 7 tablet. If things go as planned, Larry Page, Sundar Pichai and company will be happy with the end result.

According to a recent report by Digitimes, global shipments of this tablet are expected to reach roughly 3.5 million through the end of the year. This number could be even bigger in the future if Google decides to launch the device in the China market.

Right now, Google Inc (NASDAQ:GOOG) is not interested in doing business in China due to the company’s refusal to comply with some of the country’s internet policies.

Should Apple Inc. (NASDAQ:AAPL) and Tim Cook be concerned? Probably not. This is a big leap forward for Google, but nothing that the iPad is incapable of handling. The first generation Nexus 7 has shipped six million units since its launch in July 2012. The iPad, on the other hand, ships roughly 15 million units per quarter.

Apple Inc. (NASDAQ:AAPL) doesn’t have to concern itself too much with the second generation Nexus 7 taking over its spot at the top of the tablet market. That being said, Cupertino may find itself losing some market share if this tablet, as well as others from the competition, continue to catch on. It is possible that consumers could continue to look more towards cheaper alternatives.

The Google Inc (NASDAQ:GOOG) second generation Nexus 7 tablet has a lot going for it, but not enough to dethrone the Apple Inc. (NASDAQ:AAPL) iPad. Until a serious contender comes along, Cupertino will continue to dominate the tablet market while showing the rest of the world that it is the undisputed leader in this space.

These hedge fund managers are heavily invested in Apple (are you?): Christopher Hansen, Jeffrey Edwards, Mark Diker, and Stuart Peterson.

The video below offers some more information on the Nexus tablet from Google:

Disclosure: none

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