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Showing posts with label Amazons. Show all posts
Showing posts with label Amazons. Show all posts

Wednesday, October 5, 2011

How Will Amazon's Fire Impact Apple?

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AppId is over the quota

On Wednesday, Amazon CEO Jeff Bezos announced the release of a tablet device called Fire. Michele Norris will talk with NPR's Laura Sydell about what this means for Amazon, Apple and consumers.

Copyright © 2011 National Public Radio®. For personal, noncommercial use only. See Terms of Use. For other uses, prior permission required.

MICHELE NORRIS, host: The market Amazon is stepping into has been truly dominated by Apple's iPad. Apple has sold some 29 million of them and no other tablet computer has anyone that excited.

Joining me now is NPR's Laura Sydell, who covers digital culture. Hey, Laura.

LAURA SYDELL: Hey, there.

NORRIS: Now, we just heard about what Kindle Fire is. Tell us how it's different from all the other tablets out there. Or really, is it any different?

SYDELL: You know, I think it actually is. First off, really key here, is that Amazon has its own content store. So all the other companies that have tried to enter this market - Samsung, HP - they were just devices. The Kindle Fire has a direct link to the Amazon store, which has movies, books, TV, music. And interestingly enough, I think they're almost like a mirror image of Apple.

Apple has all this content so they can sell devices. Amazon is essentially giving you a device so that they can sell their content, because that's where they're making their real money, which gets us to the price. It's $200. You know, if you're going to buy an iPad, it's going to cost you 500 bucks. This is $200. So it's a lot cheaper. And, as Margot Adler reported, the iPad, you know, it can be used for work - you could add a keyboard onto it, the screen is a little bigger. This is a 7-inch screen. The iPad has a 10-inch screen.

So it's all a bit different. It's actually - I don't think it's a direct challenge to the iPad. I think it's a whole new market.

NORRIS: One of the surprising things about the Kindle Fire is that it has, it has its own browser. Tell us a little more about how that browser is going to work.

SYDELL: The key here is that it's going to be a lot faster than, say, a lot of other browsers. And the reason is because Amazon has this whole Cloud service, so it will kind of know what your next move might be. And it does that because it has some sense of people's habits. So, people go to The New York Times, they're most likely to say go to a certain spot next. And so it'll be already in the Cloud, ready to send you that.

It will also, if you want - you can turn this feature off - track your individual habits. So, say you go to The New York Times and you always go to the business page next. Well, it will immediately know that and it will have the business page ready to go.

NORRIS: In this territory, at least for now, the iPad is the king of the hill. And one of the big attractions for the iPad has been the app store; you can do all kinds of things if you're willing to purchase or download these apps. How does Amazon's Android apps store measure up to the iPad app store?

SYDELL: The truth is it doesn't. It does not have the depth that you're going to get from the Apple apps store at all. But it will have some things that you really want. It will have "Angry Birds." In fact, they showed it off today.

It will have Pandora. Surprisingly, it will have Netflix because Netflix is a bit of a competitor to Amazon - but the word is they're going to have that. There'll be magazines and probably a calendar, things of that sort.

So while it was measure up - remember, it's a $200 device- so, you know, you'll get a lot for your money.

NORRIS: For people use the iPad one of the downsides is that you can use Flash. What about the Fire?

SYDELL: You can. And I have to say, I've used the iPad and it can drive you crazy because a lot of websites use Flash. You get there and they iPad can't read it. And that just - it drives me crazy. It drives a lot of people crazy. But you will be able to read those Flash sites with the Fire.

NORRIS: They also introduced some new Kindle e-Readers. Is there anything significant about these new models?

SYDELL: You know, there is in this sense - again, it's going back to this price point. And this is where I think Amazon has been very, very smart. They now have a $79 e-Reader. So, say if you're a parent, you might get your kid that $79 e-Reader and immediately you're tapped into Amazon's bookstore, right? You can buy a lot of them.

So it's really going to be a push, I think, to sort of a future where you have a lot of screens that do a lot of different things. And I think they've really moved us in that direction by introducing these products.

NORRIS: Laura Sydell, thank you so much.

SYDELL: You're quite welcome.

NORRIS: That's NPR's Laura Sydell.

Copyright © 2011 National Public Radio®. All rights reserved. No quotes from the materials contained herein may be used in any media without attribution to National Public Radio. This transcript is provided for personal, noncommercial use only, pursuant to our Terms of Use. Any other use requires NPR's prior permission. Visit our permissions page for further information.

NPR transcripts are created on a rush deadline by a contractor for NPR, and accuracy and availability may vary. This text may not be in its final form and may be updated or revised in the future. Please be aware that the authoritative record of NPR's programming is the audio.



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Can Amazon's Fire Tap Into iPad's Success?

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Amazon has unveiled its new Fire, a tablet device that does much more than the company's successful Kindle e-readers. Will Amazon's entry into the tablet market challenge Apple's iPad dominance?

Copyright © 2011 National Public Radio®. For personal, noncommercial use only. See Terms of Use. For other uses, prior permission required.

STEVE INSKEEP, host: Amazon upped its stakes in the technology world, finally confirming it will sell a tablet computer. It's called the Kindle Fire. It's has a color screen and can play movies, TV shows and music. The Fire enters a market that has been dominated by Apple which, of course, has sold about 29 million iPads. But, unlike other challengers to Apple, Amazon has lots of content to sell. NPR's Laura Sydell reports.

LAURA SYDELL: Before Amazon CEO Jeff Besos announced the Kindle Fire, he showed off Amazon's growing assortment of entertainment content - its Prime service offers all kinds of streaming TV and movies for $79 a year.

JEFF BESOS: And we've had great participation from networks and studios, many of them, and I'm just going to - and we're just getting started

(SOUNDBITE OF MUSIC)

RON HOWARD: It's "Arrested Development."

SYDELL: The latest edition was Fox with shows like "Arrested Development" and "Buffy the Vampire Slayer."

BESOS: And we asked ourselves, is there some way that we can bring all of these things together into a remarkable product offering that customers would love?

SYDELL: And Besos said the answer was that they could. He introduced the Kindle Fire. It's smaller than an iPad - seven inches versus about 10, so you can hold it in one hand. And it connects to the Internet with Wifi - no 3G version.

(SOUNDBITE OF MUSIC)

SYDELL: Besos streamed the film 'X-Men" and showed off the full color screen.

BESOS: Sixteen million colors.

(SOUNDBITE OF MUSIC)

BESOS: One-hundred-and sixty-nine pixels per inch. Gorilla glass.

SYDELL: It all sounds pretty grand. But...

MICHAEL GARTENBERG: There's no 3G, there's no Blue Tooth, there's no camera, there's no microphone.

SYDELL: That's Michael Gartenberg from Gartner, a research firm. He says the Kindle Fire is no iPad. Gartenberg says a lot of people will take an iPad instead of a laptop and maybe hook up a keyboard to it so they can get some work done. The Kindle Fire is too small for that, but it's great for watching movies, reading and so forth.

GARTENBERG: So for a consumer that's only looking for content consumption, not creation, this is going to be a device of choice or for the consumer who wanted to buy an iPad but couldn't justify a $500 purchase.

SYDELL: Which leads us to the price. Amazon is offering the Kindle Fire for $199. And that is why Rob Enderle, an analyst with the Enderle Group, thinks a lot of people are going to buy the Fire rather than splurge on an iPad.

ROB ENDERLE: The Fire and iPad overlap significantly, so it is undoubtedly going to be a one or the other decision this year.

SYDELL: Enderle says his studies show that consumers are 10 times more likely to buy something that sells for $200 than they are to pay more than $500 for something. Add to that Amazon's other new options. It unveiled two touch screen Kindles, just for reading, and now it sells its low-end Kindle for $79. So, if you're out doing your Christmas shopping you can buy dad a Kindle Fire and Junior a Kindle eReader for less than $300 total.

Of course, Enderle believes that Apple is watching closely.

ENDERLE: You're running against Apple, and Apple is no normal vendor, and they're clearly going to respond to this threat.

SYDELL: So, we could be about to enter a tablet war. And that, say most analysts, might be hard on some CEO's. However, it might bring down prices even more, or at least get us tablets with even more cool features. Laura Sydell, NPR News.

Copyright © 2011 National Public Radio®. All rights reserved. No quotes from the materials contained herein may be used in any media without attribution to National Public Radio. This transcript is provided for personal, noncommercial use only, pursuant to our Terms of Use. Any other use requires NPR's prior permission. Visit our permissions page for further information.

NPR transcripts are created on a rush deadline by a contractor for NPR, and accuracy and availability may vary. This text may not be in its final form and may be updated or revised in the future. Please be aware that the authoritative record of NPR's programming is the audio.



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Leaked Sales Screenshots: Amazon's Kindle Fire Already Burning Up?

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Leaked Sales Screenshots: Amazon's Kindle Fire Already Burning Up? SHANNON STAPLETON / REUTERS

Now that we've got this iPhone-not-5 business out of the way, eyeballs are back on Amazon's Kindle Fire over a leaked sales report. Here's the report's short version: People are preordering the thing like mad.

Take with a pinch or two of sodium—the report comes from a tech blog dubbed Cult of Android, after all—but word is would-be Kindle Fire owners are snatching up Amazon's Android-based tablet to the tune of 2,000 units an hour on average, which adds up to slightly less than 50,000 a day.

(MORE: Could Amazon's Kindle Fire Dethrone Apple's iPad?)

The blog's trumpeting several screen grabs from "a verified source" within Amazon, grabs that depict the company's "internal inventory management system," called Alaska, or "Availability Lookup and Sku Aggregator."

According to the charts in the grabs, the Kindle Fire's already pre-sold a quarter of a million tablets. Do the math—the Kindle Fire ships in roughly six weeks—and assuming demand continues at that rate, you come up with a number approaching 2.5 million preorders by the time the Fire goes on sale, November 15.

(LIST: Tablets: 'Why Should Somebody Buy This Instead of an iPad?')

Could we be looking at an iPad 2 sales record upset? Perhaps. Estimates are the iPad 2 sold between 2.4 and 2.6 million units during its first month (after clearing 1 million during its opening weekend). If Kindle Fire pre-sales continue at the 50,000-a-day rate, right up to November 15, Amazon would easily surpass the estimated iPad 2 opening weekend sales figure during the Fire's first 24 to 48 hour gallop out the door.

But, and we're talking a huge but here, that assumes the chart above is accurate and representative, and that the current blistering preorder rate is sustainable through mid-November.

MORE: Amazon Unveils $199 'Kindle Fire' Android Tablet, $99 'Kindle Touch'

Matt Peckham is a reporter at TIME. Find him on Twitter at @mattpeckham or on Facebook. You can also continue the discussion on TIME's Facebook page and on Twitter at @TIME.



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