Analyst cuts forecast of Amazon Kindle Fire sales because of Google Nexus 7 and mini Apple iPad

Analyst cuts forecast of Amazon Kindle Fire sales because of Google Nexus 7 and mini Apple iPad
When the Google Nexus 7 was launched, right away it got the nickname "Kindle Fire Killer" because of the similarly sized screen and (at least with the 8GB model) the same price. Add the expected launch of a 7 inch version of the Apple iPad and it is no surprise that Cowen analyst Kevin Kopelman has cut his forecast for Amazon's tablet. He now expects to see 12 million units of the Amazon Kindle Fire get sold this year, down from his original expectation of 14 million units sold. If you think that is small potatoes, the lost 2 million units would equal $400 million in sales that is slipping through Amazon's fingers. He figures that Amazon sold 4 million units in 2011 when the low-priced tablet launched in November of that year.

Kopelman's reduced estimate not only takes into account the increased competition from the Google Nexus 7 and the mini Apple iPhone, but also Target's decision to remove the Kindle Fire from its stores. What might help the Amazon Kindle Fire is talk that a refreshed version is coming down the pike along with the possibility of a model with a 10 inch screen and possibly a version offering Wi-Fi connectivity.

Out of all of the interesting product battles that might occur in 2012-2013, the possible three way low-priced tablet battle between the Google Nexus Fire, the Amazion Kindle-Fire and the mini Apple iPad could be among the most intriguing. It looks like the glory days of the Amazon Kindle Fire might have been cut short prematurely by the competition.

source: CNET

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Nexus 7
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7 Comments

1. tmcr7

Posts: 180; Member since: Nov 02, 2011

There's no mini-iPad. Why base a forecast on a fictional product?

2. mas11

Posts: 1034; Member since: Mar 30, 2012

I would just like to say Dark Knight Rises!

3. MeoCao unregistered

Amazone will sell 12M of Kindle fire? In this case Kindle fire must be very cheap or much better than N7 or both which I think is impossible.

4. Izzy_V

Posts: 216; Member since: Jul 07, 2012

However superior the N7 or the still unconfirmed iPad Mini are/will be in specs compared to the Fire, you have to remember that the majority of consumers are mostly unaware or uneducated of tech specs between electronics. On top of that, now that more and more people are starting to buy products online and Amazon being the massive online powerhouse that it is and it advertising the Fire on its main page (and NOT selling the N7, yet), there will still be people that will flock to buy the Fire as it is currently tied for the cheapest tablet and is arguably the best-advertised tablet out there. Although I do agree $12M does seem a bit exaggerated. :I

7. MeoCao unregistered

JB is much better than iOS6, Google Now and Voice Search is way better than what iOS has to offer. Those features will be the main selling point for JB, and Kindle Fire will not have that even when they fork JB. Google Play is getting better, user can have Amazone on their N7 easily too. And you say about advertizing here, do you know who is the the giant in the field?

5. pikapowerize

Posts: 1869; Member since: May 03, 2012

if microsoft will also join the low end tablet amazon will be in great danger! they dont have an OS of its own! apple's mini ipad(if ever they make one) has an iOS, google's nexus as its android, and microsoft has its windows! im thinking, the ipad mini will be irrelevant because the iPad 2 cost almost the same as the 7 inch tablets! but if apple wants a market on that part too... well another healthy competition! and we are the one benefiting from it!

6. pikapowerize

Posts: 1869; Member since: May 03, 2012

happy survival companies!! may the odds be with you forever in your favor! :)

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