Error
  • JUser::_load: Unable to load user with id: 67

Featured Articles

5th Generation Broadwell 14nm family comes in three lines

5th Generation Broadwell 14nm family comes in three lines

Intel's 5th Core processor family, codenamed Broadwell, will launch in three lines for the mobile segment. We are talking about upcoming…

More...
Broadwell Chromebooks coming in late Q1 2015

Broadwell Chromebooks coming in late Q1 2015

Google's Chromebook OS should be updating automatically every six weeks, but Intel doesn't come close with its hardware refresh schedule.

More...
New round of Nexus phone rumour kicks off

New round of Nexus phone rumour kicks off

Rumours involving upcoming Nexus devices are nothing uncommon, but this year there is a fair bit of confusion, especially on the…

More...
Nvidia officially launches the 8-inch Shield Tablet

Nvidia officially launches the 8-inch Shield Tablet

As expected and reported earlier, Nvidia has now officially announced its newest Shield device, the new 8-inch Shield Tablet. While the…

More...
Aerocool Dead Silence reviewed

Aerocool Dead Silence reviewed

Aerocool is well known for its gamer cases with aggressive styling. However, the Dead Silence chassis offers consumers a new choice,…

More...
Frontpage Slideshow | Copyright © 2006-2010 orks, a business unit of Nuevvo Webware Ltd.
Monday, 03 October 2011 12:59

Amazon sells Kindle Fire at a small loss

Written by


Hope to make money on content
Amazon’s Kindle Fire is the all the rage these days and according to IHS, Amazon is losing money on each tablet it manages to shift for $199.

The bill of material cost for the Fire is estimated at $191, just $8 less than the price, which means Amazon has a rather tight margin. However, if you add manufacturing and other costs, each Fire tablet sets Amazon back about $209.

Amazon hopes to recoup the loss in the long run, selling content to Fire users. With its vast content library, the concept makes sense. Of course, the BOM cost is also subject to change. Component costs tend to drop over time and if Amazon manages to ship a lot of tablets, prices should be lower, too.

Of course, Apple boasts and equally impressive content vault and it could do the same with its iPad. It just chooses not to.
blog comments powered by Disqus

 

Facebook activity

Latest Commented Articles

Recent Comments