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Amazon's new tablet is expected to be a worthy competitor of Apple's iPad  (Source: bindapple.com)
In order to achieve this, Amazon must sell its new tablet "significantly" below its competitors' prices and have enough supply to meet consumer demand

Google's Android operating system may be beating Apple's iOS in the smartphone area, but Apple clearly takes the cake when it comes to tablets. For now, at least.

Apple has sold nearly 30 million iPads since the gadget's original launch in April 2010. Since then, many other competitors such as the BlackBerry PlayBook and the Motorola Xoom have attempted to match the iPads popularity, but were unsuccessful in doing so. Hewlett-Packard even decided to kill off its TouchPad tablet and webOS operating system due to problems like slow hardware releases, mediocre execution, and overproduction which made the tablet unable to compete.

But there will soon be a new competitor that may give Apple a run for its money in the tablet arena: Amazon.

According to Forrester Research, an independent technology and market research company, Amazon could sell as many as 5 million tablets in the fourth quarter. But in order to do this, it must sell its new tablet "significantly" below its competitors' prices and have enough supply to meet consumer demand. If it can pull this off, Forrester Research estimates that Amazon could sell between 3 million and 5 million tablets in the last three months of 2011.

In addition to lower prices and increased supply, apps are another important area to consider in regards to tablet sales. Apple has around 100,000 custom-built iPad apps where Google's Honeycomb platform has less than 300.

"If Amazon's Android-based tablet sells in the millions, Android will suddenly appear much more attractive to developers who have taken a wait-and-see approach," said Sarah Rotman Epps, of Forrester Research.

Epps predicts that consumers will especially jump to buy an Amazon tablet if it is lighter and smaller like a Kindle, yet powerful with a browser, OS and apps. She said Amazon could have a "killer product" if it combined the Kindle with the power of an iPad.

"So far, Apple has faced many would-be competitors, but none have gained significant market share," said Epps. "Not only does Amazon have the potential to gain share quickly, but its willingness to sell hardware at a loss, as it did with the Kindle, makes Amazon a nasty competitor."

Amazon's tablet will feature a 9-inch screen and the Android operating system. It is due to launch before October 2011.


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Better not make it..
By Reclaimer77 on 8/29/2011 9:54:19 PM , Rating: 2
Rectangular and black, or Apple will sue your ass! They invented black rectangles you know.




RE: Better not make it..
By amanojaku on 8/29/2011 10:23:49 PM , Rating: 5
This just in: in the wake of recent violations (Apple iPad - Rectangle, Icons) tablet makers have patented the following interfaces:

Asus Roboto - Octagon or two Trapezoids, Pictographs
Motorola Isosceles - Triangle, Hieroglyphs
RIM Aggressive - Oval, Ideograms
Samsung Frisbee - Circle, Runes
Toshiba Star - Pentagon, Sigils

An unconfirmed rumor mentions the HP Vapor - ???, ???


RE: Better not make it..
By Solandri on 8/30/2011 5:08:08 AM , Rating: 4
When it comes to black and rectangular with rounded corners, it's more likely that Apple copied Samsung.

http://www.engadget.com/2006/03/09/samsung-digital...


RE: Better not make it..
By Reclaimer77 on 8/30/2011 1:35:33 PM , Rating: 2
True but you know what the Appletards will say; that's a picture frame, not a touchpad bla bla bla


Selling at a Loss
By ltcommanderdata on 8/29/2011 9:40:40 PM , Rating: 2
Amazon can afford to sell their Android tablet at a loss, because of vertical integration they can make the money back through their own app store, book store, music store, etc. That will certainly position them to challenge the iPad.

I'm curious what this means for the other Android tablet makers though? Samsung, Acer, LG, and others don't have the digital store presence to be able to afford selling their hardware at a loss. Is there much room between an entrenched Apple iPad at the high-end and an Amazon willing and able to sell a feature competitive tablet at a loss while offering high levels of integration through Amazon's own stores and services?




RE: Selling at a Loss
By tayb on 8/29/2011 10:42:05 PM , Rating: 3
You can say the exact same thing about Apple except that Apple is in an even better position with vertical integration and they are also sitting on vast sums of money. I certainly hope Amazon spurs a race to the bottom price-wise I just hope it doesn't end up being a two pony race. I would also be worried that a $300 iPad would destroy the competition and leave the tablet landscape 80/20 iOS/Android. I guess careful what you wish for.

On a personal note I own an iPad and I quite like it. Managed it on craigslist for a clean $300. Right after the 2nd gen came out. I'm excited to replace this thing in 2012. The market is heating up, should be great.


RE: Selling at a Loss
By Jeffk464 on 8/29/2011 11:06:37 PM , Rating: 2
I would like a kindle type device, yes e-ink, with touch, and a solid browser app so I can easily read any book or internet page minus video. Do this and sell it for $200 bucks or so and they will have a product. Just produce another tablet and it will just be one of many.


RE: Selling at a Loss
By Jeffk464 on 8/29/2011 11:09:58 PM , Rating: 2
Also keep the OS and hardware lightweight, basically keep it a reader with more of a tablet like interface.

P.S. the upcoming sony reader seems to be headed in this direction.


RE: Selling at a Loss
By ViRGE on 8/30/2011 8:24:08 AM , Rating: 2
quote:
Amazon can afford to sell their Android tablet at a loss, because of vertical integration they can make the money back through their own app store, book store, music store, etc. That will certainly position them to challenge the iPad.
I'm not so sure that's true, or at least not reasonably practical. Apple takes a 30% cut and according to their financial documents the iTunes Store is basically a break-even operation (which is where they want it to be). For Amazon to subsidize the tablet like that they'd have to take more than 30%, and there's no guarantee developers and media companies will agree to taking a smaller cut so that Amazon can tell more tablets. If that happens and if it is Android tablet that allows 3rd party markets, watch as as significant number of people never even touch Amazon's market.


Nook Color Says Hi!
By Arsynic on 8/30/2011 9:42:27 AM , Rating: 3
"Hey, what about me??!! I'm a $250 Android tablet and an awesome e-reader.




RE: Nook Color Says Hi!
By kmmatney on 8/30/2011 12:01:55 PM , Rating: 2
As a former Nook Color owner (and now iPad2 owner) the Nook is just too slow, and CM7 is too buggy. It has basically the same screen as the iPad, so it's not any better than an iPad as a reader. Even supporting flash out-of-the-box is a mixed blessing, as it makes a lot of the web experience just suck. I paid $189 for my Nook, but still felt it was a bad buy. I was happy to pay $500 for the iPad - its that much better.


RE: Nook Color Says Hi!
By Arsynic on 8/30/2011 3:38:43 PM , Rating: 2
This isn't an iPad vs. the world pissing match. It's about people getting excited about an Android-based tablet that's half the price of an iPad like it's never been done.

Yes, Nook does have some niggling issues, but that doesn't change my point.


Google may be beating Apple in smartphone sales?
By davidgekko on 8/29/2011 9:30:39 PM , Rating: 2
Google does not sell smartphones, and Google earns zero revenue from handsets (mobile phones) sold by manufacturing companies that run Android




By danjw1 on 8/30/2011 12:04:23 AM , Rating: 2
Google just bought, err, well they haven't closed yet, but will soon own Motorola Mobile.


Windows 8
By kmmatney on 8/30/2011 12:07:19 PM , Rating: 2
I really don't see anyone being able to really compete with Apple until there is a tablet that you can use for more general productivity, like a Windows tablet. If Windows 8 can work well on a Tablet, then I think things can get interesting. For now, tablets are still mostly luxury devices, and Apple has the "luxury" market cornered. I used to think the idea of using Windows on a tablet was a bad idea, but tablets are getting faster, and if Microsoft can reduce the bloat (no small feat) I can see it happening.




Right..
By teng029 on 8/30/2011 9:05:23 PM , Rating: 2
why should i believe anything she says? because Sarah Rotman Epps has such a stellar track record at predicting tech trends? this is the same person who said that at total of 3-5 million tablets would be sold in 2010. apple sold nearly that many in one quarter and over 14 million for the year. that's not even counting the android tablets that sold that same year.




By TakinYourPoints on 8/31/2011 1:32:29 AM , Rating: 2
The iPad hasn't had any good competition so far. Xoom, Transformer, Galaxy, none come close to the iPad because the manufacturers don't do a good job with the software/service stack and the hardware is inferior.

Amazon is a different story. They have an app store, they sell music, they sell movies, they have excellent cloud and back-end services for consumers and businesses, and it is all under one roof. Like Apple they can provide the whole thing in a very unified and customer friendly package. The Kindle absolutely nailed cloud syncs and ease-of-use from the get-go. That really cemented Amazon as one of the companies outside of Apple that really gets it.

Android tablets haven't succeeded because they have all been mediocre to terrible. I trust that Amazon is going to be the first ones to actually compete with Apple in terms of services and delivering a complete top-to-bottom customer experience. Hardware is obviously to be seen, but if they have the Tegra 3 and an IPS display then they should be set and actually competitive in that regard as well.




"You can bet that Sony built a long-term business plan about being successful in Japan and that business plan is crumbling." -- Peter Moore, 24 hours before his Microsoft resignation

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