Nexus iPod-ish Concept

Here is something that just occurred to me but I think would be a killer Christmas season device. Build a Nexus device based on the HTC One S chassis but with a 4" LCD 2 screen. a S4 dual core processor down clocked at 1.2 GHZ, use the same excellent camera and you can have an even slimmer than 0.31" design because there would be no cell phone hardware. Am I asking too much that this could be sold at $149 as a at cost device like the Nexus 7? If so it would be an awesome impulse Christmas gadget at half the price of an iPod Touch. If needed it could have only 16 GB of storage to hit that price, particularly if it included a year of 50 GB of Drop Box. Is this a reasonable price point or am I dreaming? Am I the only person who would be eager to spend $149 on something like this? Obviously the Samsung Player 4.2 which is $179 on Amazon (http://www.amazon.com/Samsung-Galaxy-Player-4-2-New/dp/B007SRNPPU) never sold well but it was never really marketed and I think this Nexus 4 iPod-ish concept will sell well if made available on the Play Store. Am I missing something?