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Amazon might be losing money for every Kindle Fire it sells in the future

0. phoneArena posted on 29 Sep 2011, 04:22

Amazon’s Kindle Fire tablet is different. It’s cheaper, but cheaper is not saying enough - it undercuts the current crop of 7-inch Android tablets by more than a half…

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posted on 29 Sep 2011, 04:34

1. speckledapple (Posts: 892; Member since: 29 Sep 2011)

Because of the content factor, what they lose in immediate revenue, which they are not directly pressed for, they make up in shear volume of the thing. I guarentee this device will be everywhere for Christmas and the number of sales could be equal to that of the kinect for Microsoft.

posted on 29 Sep 2011, 04:56

2. Victor.H (Posts: 785; Member since: 27 May 2011)

Quite possible. Actually, it looks to me like the only thing that could stop Amazon from being super successful with the Fire is the supply chain. If Bezos gets the supply chain going and manufacturers manage to make enough of those Kindle Fires, the demand could be huge. Of course, assuming it's as bug-free as it looks like.

posted on 29 Sep 2011, 05:01

3. cncrim (Posts: 910; Member since: 15 Aug 2011)

I don't think so, loose $50/tablet? Amazon knows what they get themself into. All I can say is the reality is seller never mistake what they sell, only buyer do..... PERIOD.

posted on 29 Sep 2011, 06:01

4. Joshing4fun (Posts: 1237; Member since: 13 Aug 2010)

Amazon is not Hp and this is a kindle not a webOS device. There is no way Amazon would start selling something this huge and for a loss.

posted on 29 Sep 2011, 12:21

5. G-Reg (unregistered)

This is far from a surprising tactic. Its used alot by sony and xbox to just name a few.

Make a product where the comsumer must purchase content from the develper to have desired usage. Then toss in the fact DL content is cheap as hell to distribute and have available and they have a win win situation.

They will make tons of cash off this beast, even if they tank 50 for each unit.

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