Amazon Heeds SI’s Advice on Tablet Pricing

No, you schmucks are not the only ones reading, and more importantly benefiting from, the nonpareil SI blog.

Y’all can pat your collective backs today that you’re in august company.

Obviously, Amazon CEO Jeff Bezos is an avid reader of the SI blog because in August we recommended that the upcoming Kindle Tablet must be priced between $200-$250 if it intends to be a viable player in a market lorded over by the iPad.

This is what SI wrote on August 1, 2011:

With most consumers strongly fixated on the iPad, we don’t see how Amazon can gain quick traction unless it launches an entry-level 16GB model at $200-$250, a significantly lower price point compared to Apple’s $499 price for the 16GB iPad 2.

And as we all know by now, Bezos followed our sage counsel – Amazon came in at the low end of our suggested price, i.e. $199 for its Kindle Fire tablet launched today.

It’s heartening to note that good advice does not always fall on deaf ears. 😉

But it’s a bit disappointing that the Kindle Fire offers only 8GB storage instead of our recommended 16GB but Amazon is offering unlimited Cloud Storage.

Amazon Launches Kindle Fire

Kindle Fire ships on November 15.

By the way, you can pre-order the Kindle Fire tablet on Amazon’s web site now.

Related Posts:
Amazon Guns for iPad with $199 Kindle Fire Tablet
Ha Ha Ha, ROFL; Amazon Will Sell 5m Tablets in Q4, Predicts Forrester
Can Amazon Lift the Sinking Android Tablets?

7 Responses to "Amazon Heeds SI’s Advice on Tablet Pricing"

  1. Naveen   September 28, 2011 at 2:40 pm

    If the image you have posted is anything to go by then it doesn’t look that cool but @ $199 it has the potential to kill the likes of Galaxy. Responds:

    It doesn’t look ugly either.

    Galaxy, PlayBook, Asus, Acer etc are chow.

  2. Naveen   September 28, 2011 at 2:46 pm

    Amazon may have a very smart strategy in place here.

    Priced at $199 it is best positioned to become the alternative to iPad.

    It may never come close to challenging iPad but the intent may be to become the consistent 2nd choice for those who are not willing to spend much.

    Even if iPad continues to lord over 75-80% of the market, Fire may be the master of the remaining 25-20% which is not bad in a monopolized space. Responds:

    Plus, once consumers buy (a big IF here) the Kindle Fire they might be tempted to make other purchases, digital and hard/soft goods from Amazon.

  3. முனிAndy   September 28, 2011 at 6:17 pm

    Does SI play Angry Birds? Responds:

    1. No, SI only plays Show-Me-Yours-and-I’ll-Show-You-Mine. 😉 The Guinness is working!

    2. But we’ve seen Angry Birds on our iPad 2 App store

    There are 2 versions – Angry Birds Seasons HD for $1.99 (#4 in Top Paid iPad Apps) & Angry Birds HD for $4.99 (#8 in Top Paid iPad Apps).

    Which one would you recommend?

    • முனிAndy   September 28, 2011 at 6:41 pm

      err.. I played the free one on the chrome browser. (

      I thought there was a free version in App Store too?? Responds:

      Yes, indeed (#9 on Top Free iPad Apps).

      Downloading it as we type.

      • boopalanj   September 29, 2011 at 1:46 pm

        Angry birds – one of the first few apps I installed. Had it previously on my android phone too. Not so exciting, but not so boring too. Decent one.

        Do you use a scratch-guard or something for the iPad screen? Does it affect the experience? Responds:

        We use the ScreenGuard screen protector. No issues.

  4. satheeshway   September 29, 2011 at 10:57 am

    cnet has confirmed kindle “fire sale”$50-on-each-kindle-fire-says-analyst/?tag=mncol;txt Responds:

    But Amazon may make up for the hit on hardware with other digital, hard/soft goods purchases on the company’s store.

    People buy a lot of stuff on Amazon sight unseen (including TVs, computers, etc)

  5. abhi220   September 30, 2011 at 12:54 pm

    You might like this piece on iPad 2 vs Fire.

    Even I am considering an iPad 2. Only thing which holds me back is, how useful it would be back in India. Responds:

    We think your guy (your link) is wrong on iPad sales. We think most iPad sales are of the WiFi kind not the 3G model.

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