The Kindle Fire tablet released by Amazon two days ago, priced at a $199, does not seem to have impressed some market analysts at first sight.
Mark Moskowitz of JP Morgan claims that the new Kindle is not even likely to ensure second place for Amazon in the tablet market, which is dominated by Apple's two iPad models.
The analyst declared that any assumption that Amazon will get to the second position after the release of Kindle Fire is "just noise" (opens in new tab) . A new colour touchscreen is perceived just as a stepping stone, and the overall impression of Kindle Fire is that of a hybrid device. Users are expecting more and more from technology and Amazon does not seem to meet these expectations. The 7-inch screen without camera, microphone or GPS are seen as weaknesses, in comparison to Apple's iPads and others.
Amazon is relying on three important features with the Kindle Fire: a user interface built around Android, (perhaps most importantly) Amazon's content and infrastructure, and its low price. The low pricing could attract new customers, but in the long run could cause problems in marketing the device. A low price could indicate the device has limitations to some users, who may worry about not getting a 'real' tablet experience.
With all that on the table, Mark Moskowitz confidently writes that until the Fire evolves "the emergence of a major two tablet vendor remains elusive". With two new similar devices in the pipeline, rumoured to be launched in 2012, Amazon might still have something important to say in the tablet market.