Apparently, Amazon’s Kindle Fire priced at $199 has taken the tablet market by storm. This price tag of the 7-inch tablet is much lower than the tablets of lot of other companies. Consequently, all of these companies which include HTC, Lenovo and others have decided to lower the prices of their tablets.
Apparently, Kindle Fire has evolved the tablet market in more than one ways. With it’s content-oriented profit-making approach, Amazon launched Kindle Fire at a mouth-watering $199. And the resulting wild-fire sales clearly speak of the success of the strategy.
Other tablets are cheap now:
Other tablet companies like HTC and Lenovo seem to stand a little chance with such awesome products as iPad 2 and Kindle Fire. In fact, a very little chance with their high prices. So naturally these companies have decided to lower their prices by large margins. For example, RIM has lowered the price of 7-inch 16-GB Playbook’s price from $499 to $199, in a deal with Best Buy. Similarly, HCT has brought the price of it’s 7-inch flyer tablet to $299. Lenovo has re-priced the 7-inch A1 Tablet PC at $199. Oh and there’s a tablet which is now even cheaper than Kindle Fire – the ViewSonic’s 7-inch ViewBook which can now be bought at a mere $169.
A number of Chinese companies have also lowered their prices to as low as $75. While this does show how Kindle Fire’s launch has changed the dynamics of tablet market, the question remains that can these companies sustain these prices, since they don’t have a content-based profit-strategy like Amazon.
Image courtesy mathplourde.