Amazon could sell tablet for as low as $249

Lance Whitney writing at cnet:

Though the retailer would take a loss on the initial sales of the tablet itself, the company would more than make up the gap by selling a certain number of videos, songs, books, cloud storage, and other type of content to a typical buyer.

I’d say that could well be true, because if part of the reason the Kindle is so successful comes down to this fantastic platform that Amazon have been building. In terms of ebooks, they’ve built an ecosystem and user experience that works great on a wide range of devices, including tablets.

Whitney goes on to quote a chap called Tim Bajarin, a tech industry analyst, apparently:

“When measuring by units shipped, this method could make Amazon the king of Android tablets very quickly,” Bajarin wrote. “In fact, I would go as far as to say that it could ‘own’ the Android tablet market.”

I’d say that this is also likely and for the same reason. Amazon has an existing platform and, more importantly, loads of content. If they can create a video/audio experience that matches the consistency and quality of their ebook offering, they could be laughing.

16 August 2011