Sustainable Business Model?

Posted by jreed91 on November 13, 2012 08:45 pm 7

I got to ask how Google selling on their Nexus devices at cost is a sustainable business model. I know they make quite a profit on advertisements but is that enough to off set this? how are selling these as a loss leader leading to increased revenue any where else? I'd be worried if I was an investor unless someone else can explain this strategy to me.