BestBuy to Get Kindles, Europe won’t?
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Amazon has managed to generate a ton of momentum for its business by introducing multiple Kindle models yesterday. The new E-ink models are quite impressive and should keep Amazon competitive against upcoming E-ink e-readers for a while. It is Kindle Fire that could prove to be a game changer for Amazon. The aggressive pricing scheme the company has adopted could put immense pressure on other Android tablet makers. As Gene Munster of Piper Jaffray indicates, Amazon will be selling each Kindle Fire at a loss:
Amazon appears to be focusing on a product with superior content delivery; the company is leveraging its wide range of content assets available for sale in conjunction with its Cloud Services product for world class, mobile, digital delivery…. Apple is also monetizing the hardware upfront with a 30%+ gross margin on the iPad, whereas Amazon is likely losing about $50 per Kindle Fire
At this rate, many players in the Android tablet business won’t be able to keep up with Amazon. Of course, Kindle Fire is not without its flaws. The hardware is not exactly the best. The battery life leaves a whole lot to be desired. The device won’t be available in the UK or European markets.
Kindle Fire and other new Kindle models will be available through Amazon. BestBuy will be getting them just ahead of the holiday shopping season as well.
Tablets and E-Readers have captivated consumers everywhere and we are thrilled to be able to offer the complete Kindle line to Best Buy customers… We think these Kindles are going to be some of the hottest gifts this year. At Best Buy, we’ve long stood for choice and are delighted that these exciting Kindle solutions will be part of our holiday selection,
explained Brian Dunn, chief executive officer of Best Buy. Of course, you can probably get your device faster if you order through Amazon.
Which Kindle will you order?
