So we know Amazon is developing tablets and maybe phones. Now the next rumor is they will cost ‘hundreds’ less than iPads. Are we talking a $399 tablet? $299? Or maybe like the HP TouchPad, a $99 tablet. Wouldn’t that create a lot of buzz for Android? $3,000 to equip a class of 30 with a tablet. Definitely doable. Think of the change in education then.
Amazon can definitely afford to allow these tablets as a ‘loss leader,’ as buying them locks you into their App Store. You even get every other tablet actively buying apps, and you send a lot of profit to Amazon. I always thought these tablets are too expensive, especially at $499 and up. Will be very interesting to see what happens!