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Chinese has launched the cheapest tablet priced at just $40.99

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Mid Tablets (Chinese)

512M/2GB Android 2.2 8650 flash 10.1 Tablet PC MID 7"touch screen,3G,WIFI,Camera

only $42.67

11323937-flytouch2-10-inches-touch-screen-apad-mid-tablet-pc-android-21-1-1.jpg
 
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Zenthink Tablet (Chinese)

• Android 2.3
• CPU, 1GHz
• DDR 512MB, 4G HDD


11706739-zenithink-c71-cortex-a9-android-23-tablet-pc.jpg
 
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The 35 USD price for the indian tablet is a subsidized price and I guess that if you aren't an indian student you are going to pay more.

When the news of the $35 Indian tablet came out, there's a discussion on some tech forms. Several people from Shenzhen said that even without any subsidization, that configuration can be made in around 209 Yuan ($33.2) in Shenzhen. It is just that it is too under configured that it doesn't have much market appealing.
 
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