Amazon Tablet Rumor Central

  • Posted: 15 September 2011 06:41 PM #46

    Drew Bear - 15 September 2011 06:02 PM

    I was listening to an Android/Google-focused podcast and it doesn’t sound like the Amazon Appstore is moving much product. As a result, developers are not updating their apps, which means fewer people buy the apps from there. Nice little cycle. Maybe the new tablet can break that…or not.

    Well, if Amazon sold it’s only tablet, their store would take off like a rocket, right?

    Drew Bear - 15 September 2011 06:02 PM

    Their tablet is rumored to be running pre-Android 2.2 Froyo. How many developers will want to spend much time working on that fork when scores of millions of devices will be moving towards Android 4 ICS?

    This is the part that baffles me. Once Amazon forks the software, they become responsible for it forevermore. Why would they take on that burden when others are willing to do it for them for free?

         
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    Posted: 23 September 2011 09:26 PM #47

    What if Apple sends out event invitations next week? Which thunderclap is louder?

    Is the Amazon Press Conference About a Color Kindle?

    http://bits.blogs.nytimes.com/2011/09/23/amazon-press-conference-could-signal-color-kindle/?partner=yahoofinance

         
  • Posted: 23 September 2011 09:57 PM #48

    Drew Bear - 24 September 2011 12:26 AM

    What if Apple sends out event invitations next week? Which thunderclap is louder?

    Is the Amazon Press Conference About a Color Kindle?

    http://bits.blogs.nytimes.com/2011/09/23/amazon-press-conference-could-signal-color-kindle/?partner=yahoofinance

    A couple of random observations.

    1) I love Amazon, but watch the difference between their event and Apple’s upcoming event. Even a Tim Cook led event will blow Amazon out of the water.

    2) Why is Amazon doing this? It seems to me that instead of building a tablet, they should be working hard to get their store on every tablet. This reminds me of Google’s move to Android. Instead of building a phone platform, Google should have been working hard to get their search products on every platform.

    3) It would be interesting if Apple sent out their invites on Tuesday the 27th, one day before the Amazon news conference. Apple’s announcement would be a huge “thunderclap” indeed, but Amazon can certainly stand on its own. I think the technoratti might be more interested in Amazon’s event, but the general public will be more interested in Apple’s.

         
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    Posted: 23 September 2011 11:40 PM #49

    Amazon does have an iOS app for their main store. I don’t see the Android move as really a direct competition with Apple. For that reason it seems like a fairly low risk, medium reward play. I just think they’ll find the current Kindle continues to be more profitable than a color tablet. Chances are it isn’t going to be the huge revenue generator some think it will. We’ll see in a year or so.

         
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    Posted: 23 September 2011 11:54 PM #50

    If the Amazon tablet combines competent media playback and Web access with Amazon shopping cheaper within 12-18 months for semi-regular Amazon customers with push coupons and stuff, I can see it having some success, albeit as a loss leader. 

    But I still don’t see the compelling business case.  Does anyone really have all that much trouble getting the core Amazon experience everywhere they go?  Mobile/desktop online ordering via web OR native apps; Kindle; certain types of media, read music and video (let’s be honest, there isn’t, that, much, money in media).  Makes you wonder.

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    Posted: 24 September 2011 12:06 AM #51

    Mav - 24 September 2011 02:54 AM

    But I still don’t see the compelling business case.  Does anyone really have all that much trouble getting the core Amazon experience everywhere they go?  Mobile/desktop online ordering via web OR native apps; Kindle; certain types of media, read music and video (let’s be honest, there isn’t, that, much, money in media).  Makes you wonder.

    I wouldn’t call it compelling, but this new product will probably draw eyes away from the sales tax issues and low margin nature of their entire business.

    I’ve read that the $114 Kindle often displays very good deals on the lock-screen. Those may drive revenue at the expense of margins, but maybe AMZN analysts focus on revenue growth?

         
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    Posted: 27 September 2011 12:00 PM #52

    Similar to what I’ve said before.

    Amazon, help me buy stuff so cheap that I net save significant money on Amazon, and I’ll happily buy your I’m-still-not-sure-why-you’re-even-making-this loss leader for the right price ($249 or below).

    While I wait for iPad 3.

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  • Posted: 27 September 2011 12:31 PM #53

    adamthompson3232 - 27 September 2011 03:03 PM

    http://www.appleinsider.com/articles/11/09/26/amazon_kindle_tablet_lineup_will_test_the_water_for_bigger_form_factors_in_2012.html

    The analyst doesn’t see Amazon’s forthcoming 7-inch tablet as aimed at the iPad.

    Agreed.

    Instead, Kuo believes the “Hollywood” project is meant to test the waters for future tablet releases primed for release in 2012. According to him, the retailer is working on a 10.1-inch device, codenamed “Coyote,” that will directly compete with Apple’s iPad when it arrives in early 2012. The company is also reportedly preparing an 8.9-inch tablet with an “amazing form factor” for release in the second half of 2012, though suppliers are said to be having a tough time meeting Amazon’s requirements for the device.

    Coyote vs. the iPad 3, huh. We’ll see.

         
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    Posted: 27 September 2011 02:03 PM #54

    The chatter on various podcasts is that Amazon is rushing this out to compete with the next Nook Color. Although the announcement is tomorrow, the product won’t hit the shelves until mid-November.

    I’ve heard it bandied about that the $114 Kindle is essentially an impulse buy. Many people that own a Kindle also own an iPad. Maybe they’ll bundle the two Kindles together with subscription deals and still “beat” the $499 iPad. I could see that boosting Kindle sales and still not affect iPad sales.

         
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    Posted: 27 September 2011 02:15 PM #55

    A $99 TouchPad is an impulse buy. LOL

    Expectations are appropriately low for the Amazon Pad or Kindle 2 or whatever they end up calling it.  If it’s not dual-core, it’s not even trying to invade iPad 2’s territory.

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    Posted: 17 October 2011 07:31 AM #56

    From BLOOMBERG:

    ?Amazon is coming at it as, ?We?re a media company, and we need to put this in the market to drive sales of our media,?? Rice said. ?What this device does for Amazon is drive the consumption of media in whatever form possible. They pay once for a movie, and if they sell it a million times, that margin increases.?

    A Kindle Fire user would have to spend about $500 on media and merchandise through the device, on purchases of items with 2 percent to 4 percent margins, to make up for Amazon?s loss on the tablet itself, estimates Scot Wingo, chief executive officer of ChannelAdvisor Corp.
    The Morrisville, North Carolina-based company consults on Web strategies for more than 3,000 businesses, including Amazon third-party sellers.

    Wingo expects Amazon to sell about 5 million tablets in the fourth quarter, bringing pressure on margins for the first six months of sales.

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