‘High Quality’ Tesco Tablet To Be Released For Christmas – Report
Tesco moves to protect entertainment business from Amazon and Apple says newspaper
UK supermarket Tesco is reportedly planning to launch its own tablet in time for Christmas as it moves to protect its profitable entertainment business from the threat of Apple and Amazon.
The Sunday Times says the Tesco tablet would employ the model used by the Amazon Kindle Fire HD, which involves using “high quality” components but aggressive pricing with the cost of manufacture recouped through the sales of digital content.
Books, films and music would come pre-loaded in the device, with Tesco’s Blinkbox movie streaming service also a central component. The company views Blinkbox as an important part of its strategy going forward and has plans to launch a music streaming service to rival Spotify.
Depending on the capabilities of the tablet, Tesco could offer it with subscriptions to Tesco Mobile, its Mobile Virtual Network Operator (MVNO).
Tesco tablet plans
However it has also been suggested that the tablet hopes to increase engagement with younger customers and those who have been tempted to go elsewhere for their shopping as the economic downturn continues.
The Tesco tablet will have apps for the company’s grocery service, with CEO Philip Clarke stressing that it wants to retain the custom of ‘millennials’, or people born between 1980 and 2000, as they begin to buy and rent their own homes.
Tesco is also under pressure at the moment as it faces calls to sell its Turkish arm after already spinning off its loss making American business and has also entered talks to merge its Chinese operations with a bigger rival in the country.
The company had not responded to requests for comment at the time of publication, but it would not be the first retailer to launch its own tablet. Clothing store Next released a critically-panned tablet in 2010, while US-based Best Buy announced plans for the budget Insignia Flex last year.
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