Nook: Barnes & Noble will hand off tablet manufacturing to a third party(Read article summary)
Following a shaky fourth-quarter report, B&N announced that it would be partnering with another company to release its Nook tablet line, although the bookstore chain will continue to manufacture its e-readers.
If you buy a Nook tablet in the future, another company name may be appearing alongside the Barnes & Noble logo on your device.
Following disappointing fourth-quarter numbers, Barnes & Noble is making yet another change and is looking to partner with another manufacturer to create its Nook tablets.
Barnes & Noble announced today that the company itself would no longer produce Nook tablet devices. It also announced that the net loss for the company, $118.6 million, was more than double the net loss for the same quarter in 2012, which came to $56.9 million. B&N in part blamed the numbers on ‚ÄúNook inventory charges,‚ÄĚ according to independent bookstore newsletter Shelf Awareness.
So Barnes & Noble will be working with another company to release the tablets, and you‚Äôll still be able to find them in stores. Barnes & Noble will continue to produce the black-and-white e-readers such as the Nook Simple Touch.
‚ÄúWe are a hundred percent not exiting the device business,‚ÄĚ Barnes & Noble CEO William Lynch said during a conference call, according to Fortune.¬†
According to the company‚Äôs newest numbers, sales for Nook devices fell 34 percent during the quarter.
Barnes & Noble called the as-yet-unannounced Nook tablet partner ‚Äúthird party manufacturers of consumer electronics products.‚ÄĚ¬†Will it be Microsoft? Rumors that the company was looking to buy Nook Media were quashed in May, but the company did recently invest $300 million in the Nook and college bookstore division of the company.¬†
B&N‚Äôs sales of digital content dropped almost 9 percent during the quarter. In a statement B&N blamed the drop on ‚Äúthe device sales shortfall as well as the comparison to the The Hunger Games and Fifty Shades of Grey trilogies a year ago.‚ÄĚ¬†