Unveiled at the Consumer Electronics Show in Las Vegas, the Acer Iconia B1-A71 is pitched at "first-time users or families opting for a second tablet for their children".
The 7-inch WSVGA (1,024x600) capacitive display is the same size as Google's popular Nexus 7. However, Acer's new slate is lighter, at 320 grams to the 340-gram Nexus 7.
The Iconia B1-A71 has a 1.2GHz dual-core processor and runs the latest Android Jelly Bean operating system.
Users get access to more than 700,000 games and apps in the Google Play store, along with over 500 free online magazines in Google Currents.
The device has a 0.3-megapixel front-facing camera for live chats and the lens has been placed in the top right hand corner so that it works effectively in landscape mode.
Buyers also get Wi-Fi 802.11, Bluetooth 4.0, GPS, a 3.5mm headphone jack, microsUSB slot and an internal speaker. The slate has 8GB of internal storage which can be expanded to 32GB via the microSD card.
The Acer Iconia B1-A71 is expected to launch in Europe, the Middle East and Africa in mid-January with an estimated starting price of just €119 (around £96).