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September 28, 2011
amazon
If you haven't heard already, Amazon Tablet is coming out tomorrow. It's a fascinating business/technology story. I wouldn't be surprised to see it show up as a business case in a few years. The main question is does Amazon have enough momentum to take a significant market share of the tablet industry? Whatever price is revealed tomorrow, it will most likely be the the best elastic price on predicted demand (prediction is $250 but I wonder if it might be lower). The product's estimated manufacturing cost is $300. As a side note, Apple is currently selling 9.7-in iPad2 for $599 and Apple is rumored to have better vertical channel control which makes me wonder how much is brand markup.
My reason for a price lower than $250 is just a glance in my purchase history on Amazon. My first Amazon purchase was in 2002 and it was two books and a magazine. I will not go into the details of this years' purchases other than to say, it's extensive and diverse. And, I'm currently waiting on another Amazon shipment. It is quite possible that Amazon may have enough leverage in content and services to tip the scales in its favor. The big question is will the techies be pleased? As a techie, I'm eyeing the Samsung Galaxy 7.7.
Posted by azileretsis at September 28, 2011 01:05 AM
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