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Barnes and Noble is reportedly launching a new Nook Android tablet that will show-off a new price tag, to undercut the Amazon Kindle Fire?

Amazon’s Kindle Fire is a “hot device” mainly due to its competitive price of just $199, contract free.

The Kindle Fire is now the “second” most popular tablet computer in United States according to multiple research firms and analysts predict that Amazon shipped at least 5 million devices last quarter and in January 2012, combined.

Now, it looks like the Barnes and Noble Android tablet is ready for round two this year with a new variant, an 8GB Nook Tablet and The Verge thinks that the new variant will introduce a more competitive tag price.

The 16GB Nook Tablet is priced at $249 and applying the same specs-vs-price, it is possible that the 8GB Nook Tablet will go on sale with $159 to $199 price tag.

No word yet from Barnes and Noble if the device will go on sale this month but the leak posted online today is claiming that the bookstore chain is planning to introduce the device on February 22.

Source: The Verge.