Earlier quoted context omitted.
you can't ignore the fact that the N4 is half the price of other phones in its class. I wonder why the phone is so much cheaper (both in absolute and relative terms) in the US than it is here in Sweden. Here it's exactly the same price as the SGS3 and the iPhone 4S and quite a bit more than the HTC One X.
I think it's actually illegal in the EU to sell products bellow cost. We call it dumping but it seems Amazon and Google are able to do it just fine in the US. So that might be one reason.
Moreover, google and amazon do NOT sell below cost. They are near cost, for the cheapest version, at launch. Go look at how much tablets sell for in China if you think their tablets are below cost. (or miumiu phones).