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Tuesday, 25 June 2013 23:38

Barnes and Noble gives up on Nook

Written by Slobodan Simic



Switches to partnership model

Barnes and Noble has announced that it will stop making Nook tablets and switch to a partnership model that will result in co-branded tablets with yet to be announced third party manufacturers.

The announcement came during the Barnes and Noble 2013 annual financial results report and while the Nook business managed to generate revenue of US $108 million for the last quarter and US $776 million for the full year, it is still a decrease of 34 percent for the quarter and 16.8 percent for the year. Device sales declined during Q4 due to lower demand.

Company announced that it plans to significantly reduce its losses in the Nook segment by limiting risks associated with manufacturing. While it will still continue to design eReading devices it will switch to a partnership model for manufacturing in order to compete in the color tablet market. Barnes and Noble plans to continue to develop Simple Touch and Glowlight products in house but the tablet line will be co-branded with yet to be announced third party manufacturers.

The currently available Nook HD and Nook HD+ tablets will still be available but it looks like future products are out of the question, at least until B&N manage to score a really good partnership deal.



nookshd

Last modified on Wednesday, 26 June 2013 07:15

Slobodan Simic

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