Amazon’s Announcement Means I Told You So

Kindle Fire

Yup. Told you so. You probably don’t really remember what Motorola and Nokia talked about two days ago. It was about some new phones right? Well…they enjoyed their brief 24ish hours in the sun and both brands are now back to the nether-regions of the public consciousness. Not only did Amazon perform a massive Jedi Mind Trick on the tech world concerning the Motorola Razr HD and Nokia Lumia 920, they also slapped Apple across the face, insulted their Momma and is threatening to take their lunch box full.

You undoubtedly have heard or read about the new Kindle Fires. I’m not going to talk about specs because those have already been talked to death by a million other blogs. Needless to say, all versions of the Kindle Fire are much better. The real story is not about the devices themselves but rather the price points of said gadgets. All price levels, from the $159 Kindle Fire to the $299 Kindle Fire 8.9 HD are all significant threats to Apple’s venerable iPad. While the iPad is still the better tablet, these new Amazonian tablet contenders will sell faster than some hackneyed cliche.  The vast majority of people that buy tablets just want a reader, something to watch Netflix on and play a few games. The Kindle Fire clan is good enough for most people and that means Amazon will hit the holiday jackpot.

Kindle Fire 8.9 HD
The Kindle Fire 8.9 HD could dethrone the iPad as the best selling Tablet this holiday season.

Amazon is wielding it’s ecosystem with such force, that even Apple will take pause. Amazon has one significant advantage over Apple. Amazon sells much more than just digital goods. Amazon sells just about everything. Therefore, not only is Amazon selling you an electronic device that you’ll be addicted too , every time you use your Kindle Fire, you will be inside of Amazon’s store.  They are also monetizing these tablets by placing ads on the lock screen of every device, regardless of which one you’ve purchase. Therefore Amazon can sell the device at or below it’s manufacturing costs. Apple simply can’t match that.

Nevertheless, Apple will still sell a bajillion iPads and be sitting pretty this time next year. It’s just that Apple is probably not sitting quite as comfortably as they were yesterday. We’ll have to see what Apple does with the rumored, upcoming iPad Mini. I have a feeling that they will be bumping up the press conference for this new iPad to a sooner date.

What say you? Do you think these new Kindle Fires will steal a big portion of the iPad market share this year?

Kenny Larson
Onetime Apple/Android/Windows fanboy. Now a firm agnostic when it comes to OS. They all suck in their own special way.

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