New 8GB Nook Tablet Is Official, Will Cost $US199

Rumours circulated yesterday that a cheaper Nook Tablet was on its way, and now it's official. Barnes & Noble is launching an 8GB version of its tablet, to go on sale for $US199. Yes, that does make it a direct Kindle Fire competitor.

It really is identical to the existing Nook Tablet, expect for the fact that it has half the storage -- making it the same capacity as the Kindle Fire, too -- and is $US50 cheaper. The storage is split on the Nook, with 1.5GB being dedicated to B&N content and only 4GB being available for user files.

As well as launching the new device, Barnes & Noble has also announced that the Nook Color will see a drop in price, so it will now retail at $US169. Both will be available from Barnes & Noble and third party retailers in the next week or so. [Barnes & Noble]