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(Some Guy)   How Amazon outsmarted Google and is now about to put the final nail in the Android tablet coffin, while at the same time giving Apple something to truly worry about   (appadvice.com) divider line 191
    More: Interesting, Android, Amazon, MSRP, OEM  
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13744 clicks; posted to Geek » on 23 May 2011 at 10:32 AM (3 years ago)   |  Favorite    |   share:  Share on Twitter share via Email Share on Facebook   more»



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2011-05-23 10:40:38 AM
There's been some creeping threat there for a while. Amazon's been good at their low-cost content-rich devices, and that's a hell of a market to target. Particularly the low-cost bit - that's huge, if they can come up with a workable tablet for maybe $250 - $300.
 
2011-05-23 10:46:27 AM
I don't like the part about them pulling Kindle for the Ipad.
That would be dumb.
 
2011-05-23 10:47:06 AM
FTFA And, for iOS users, Amazon is still holding its trump card: the Kindle app. Enjoy this one while it lasts, folks, because, come that June 30 deadline, I'm guessing the app will be officially pulled. Amazon knows that if it continues to provide iPad support for its e-book environment, selling its own tablet will be all the more difficult.

His entire thesis is built on the fact that Amazon delivers content well. Which is true. But then he states Amazon will pull its applications from other devices which were built to ... deliver content. This simply won't happen. Ignoring the potential regulatory problems this would cause - Amazon wants its reader on every device imaginable so he can sell as much content as it can.

/I think an Amazon tablet is interesting but won't really threaten Apple
 
2011-05-23 10:48:17 AM
I may be missing something, but how would a new Android tablet offering "put the final nail in the Android tablet coffin"?
 
2011-05-23 10:49:00 AM
For some reason the wording of that headline reminds of this Simpson's quote, I can't not read it in that guy's voice.

"Well, stick around, 'cause I'm gonna tell you the twelve savings secrets Wall Street *won't* tell you. Then, I'll show you the three ways to get back to the highway, including one shortcut those Wall Street fat cats don't want you to know!"
 
2011-05-23 10:52:13 AM

eKonk: I may be missing something, but how would a new Android tablet offering "put the final nail in the Android tablet coffin"?


What he said
 
2011-05-23 10:54:45 AM

rh75: eKonk: I may be missing something, but how would a new Android tablet offering "put the final nail in the Android tablet coffin"?

What he said


Came here to post this, Tardmitter.
 
2011-05-23 10:55:19 AM

sidmind: I don't like the part about them pulling Kindle for the Ipad.
That would be dumb.


Blame Apple.
 
2011-05-23 10:55:51 AM
"BWAHAHAHAHAHAHAHAHAHAHAAAAA"

-Steve Jobs
 
2011-05-23 10:56:39 AM

sidmind: I don't like the part about them pulling Kindle for the Ipad.
That would be dumb.


Given that Apple is demanding a larger cut of in-app purchases, I do not see how it is dumb. If Amazon can sell enough Kindles and enough Android tablets with a Kindle app, Amazon can tell Apple to go fark themselves and keep 100% of e-book purchases profits.
 
2011-05-23 10:56:50 AM
The headline makes me giggle. Just another article from someone who sees only a small part of the big technology picture.
 
2011-05-23 11:01:11 AM

ha-ha-guy: sidmind: I don't like the part about them pulling Kindle for the Ipad.
That would be dumb.

Given that Apple is demanding a larger cut of in-app purchases, I do not see how it is dumb. If Amazon can sell enough Kindles and enough Android tablets with a Kindle app, Amazon can tell Apple to go fark themselves and keep 100% of e-book purchases profits.


It won't happen. Read the articles about how people tie themselves to technology in the same way they tie themselves to religion, with Apple used as a prime corporate example. Amazon has no reason to cut themselves out of a profit stream of any type.
 
2011-05-23 11:01:21 AM
Enough with the "this one is the iPad threat, I swear this time" news stories.

I'm not a fan of iPad's, but even I'm getting tired of every new tablet being the next threat to Apple. Tell me about something revolutionary, not a tablet with a different name.
 
2011-05-23 11:01:22 AM

ha-ha-guy: Given that Apple is demanding a larger cut of in-app purchases, I do not see how it is dumb. If Amazon can sell enough Kindles and enough Android tablets with a Kindle app, Amazon can tell Apple to go fark themselves and keep 100% of e-book purchases profits.


Which goes against Amazon's strategy to date - which is to release a reader on every device it can to sell as much content as it can. Even if Apple insists Amazon pay it a larger cut (doubtful considering the deals Apple has been cutting with other content producers) it would be idiotic to pull the Kindle app. If for no other reason as it will piss off a large user base who will then just go to iBook or Nook apps.
 
2011-05-23 11:02:01 AM

bravian: His entire thesis is built on the fact that Amazon delivers content well. Which is true. But then he states Amazon will pull its applications from other devices which were built to ... deliver content. This simply won't happen. Ignoring the potential regulatory problems this would cause - Amazon wants its reader on every device imaginable so he can sell as much content as it can.


Apple, not Amazon, is the one that will pull Kindle from iOS.
 
2011-05-23 11:02:59 AM

eKonk: I may be missing something, but how would a new Android tablet offering "put the final nail in the Android tablet coffin"?


1) subby's retarded
2) subby's trolling
 
2011-05-23 11:03:10 AM
Amazon also gave Apple another huge middle finger today by selling the new Lady Gaga album for $1. It is one day only, but I bet it is going to take a huge bite out of iTunes sales this week.
 
2011-05-23 11:04:42 AM

bravian: ha-ha-guy: Given that Apple is demanding a larger cut of in-app purchases, I do not see how it is dumb. If Amazon can sell enough Kindles and enough Android tablets with a Kindle app, Amazon can tell Apple to go fark themselves and keep 100% of e-book purchases profits.

Which goes against Amazon's strategy to date - which is to release a reader on every device it can to sell as much content as it can. Even if Apple insists Amazon pay it a larger cut (doubtful considering the deals Apple has been cutting with other content producers) it would be idiotic to pull the Kindle app. If for no other reason as it will piss off a large user base who will then just go to iBook or Nook apps.


This.

I seriously doubt Amazon would sacrifice the sales to those devices for a shot at market dominance on a particular platform. Weren't those devices selling at a loss anyway? Because the CONTENT is were the money is at?
 
2011-05-23 11:07:13 AM

AmazinTim: rh75: eKonk: I may be missing something, but how would a new Android tablet offering "put the final nail in the Android tablet coffin"?

What he said

Came here to post this, Tardmitter.


Because Amazon is simply establishing their tablet OS on the current incarnation of Android, much the same way Apple did for Mac OS X with Mach/BSD. Google would not have control over Amazon's use of it. Nor would it be able to collect every user's private information for free, as it does with Android.
 
2011-05-23 11:09:21 AM
After much study (including talking to people who own both), I think the Nook is superior to the Kindle.
 
2011-05-23 11:16:15 AM

s2s2s2: "BWAHAHAHA*coughhackwheeze*"

-Steve Jobs


FTFY
 
2011-05-23 11:23:09 AM

rh75: eKonk: I may be missing something, but how would a new Android tablet offering "put the final nail in the Android tablet coffin"?

What he said


same here. This makes no sense.
 
2011-05-23 11:27:16 AM
Android tablets could have be wildly popular if they hadn't gone down the path of Android phones and require a contract to get one for relatively small money.

When I was in the market for a tablet, I looked at Android and decided that for the kind of money they wanted for one w/o a contract, I could get an iPad2, which is what I really wanted.

And trust me, I could have been easily swayed to a $300 Android tablet, assuming it was a capable device.

So basically, by not having an affordable WiFi only offering, manufacturers farked themselves.
 
2011-05-23 11:31:13 AM
Yessir, a $30 7" tablet with nothing fancy will definitely stem the tide of these:

mp4nation.net

10" tablets with GPS, WiFi, Bluetooth, HDMI, and Android 2.3 from hitting the US market @ $180 a shot.

Yup, real killer Amazon has there.
 
2011-05-23 11:32:06 AM
Doh... $300 tablet.

Amazon wants to charge $120 more for less tablet. WTF?
 
2011-05-23 11:33:53 AM
"iPad Killer" story? Is it Monday already?
 
2011-05-23 11:34:13 AM

Flogster: Enough with the "this one is the iPad threat, I swear this time" news stories.

I'm not a fan of iPad's, but even I'm getting tired of every new tablet being the next threat to Apple. Tell me about something revolutionary, not a tablet with a different name.


The iPad has a butt? No wonder it's so popular.
 
2011-05-23 11:41:38 AM

sidmind: I don't like the part about them pulling Kindle for the Ipad.
That would be dumb.


Given Apple's 30% "tax" on content sold on the iPad, it's probably a necessity.
 
2011-05-23 11:43:29 AM

Nemo's Brother: After much study (including talking to people who own both), I think the Nook is superior to the Kindle.


The standard YMMV applies:

They're really 2 different things. The Kindle is an ebook reader only. It's got a near useless browser, but it's not meant to be an internet device other than to fetch more content. It really does shine as a reader though, extremely lightweight, crisp text, and easy on the eyes.

From what I've seen from the Nook, it's an Android tablet with an identity crisis. It should just be a tablet, but it doesn't run a full Android build yet (last I checked) and it's a bit heavy to be a full time reader. Seems like a very nice screen, but after staring @ monitors all day, the last thing I want is to try and read a book with a back light 2 feet from my eyes.

/Kindle + Instapaper is insanely great for long form articles.

//TFA is pretty far off base. Completely misses the motives of all 3 of the companies involved.
 
2011-05-23 11:45:15 AM

sidmind: I don't like the part about them pulling Kindle for the Ipad.
That would be dumb.


It's called "hardball". Apple would do the same.
 
2011-05-23 11:45:56 AM
Why the hell would Amazon pull the Kindle reader from Apple? They want the reader on as many devices as possible, since people would be buying Kindle books. Same for the Android app store, why would they only limit apps to Amazon devices? And why would they limit their cloud service to only Amazon devices? The entire point with the cloud service is that you can access it from any device, whether it's my iPhone, my android tablet, or my Windows PC.

Amazon is making a tablet because they see people are happy with reading on a high quality LCD. So dedicated ebook readers like the Kindle are going to become obsolete, despite what they're saying right now (they still want to keep selling the Kindles). Why have something that can only be used for reading, when you can have a tablet that can do so much more? Ebooks themselves are evolving to include visual and audio content as well, which is more suitable for tablets.

As for WebOS, i would agree if anybody could make good use of it, it would be Amazon. I just don't think HP can, not in a market that already has iOS, Android, Microsoft Phone OS, and Blackberry OS.
 
2011-05-23 11:46:09 AM

Guyv: For some reason the wording of that headline reminds of this Simpson's quote, I can't not read it in that guy's voice.

"Well, stick around, 'cause I'm gonna tell you the twelve savings secrets Wall Street *won't* tell you. Then, I'll show you the three ways to get back to the highway, including one shortcut those Wall Street fat cats don't want you to know!"


.

Chuck Garabedian wants you to also remember that you gotta squeeze every penny!

2.bp.blogspot.com
 
2011-05-23 11:46:32 AM

LesserEvil: Yessir, a $30 7" tablet with nothing fancy will definitely stem the tide of these:

10" tablets with GPS, WiFi, Bluetooth, HDMI, and Android 2.3 from hitting the US market @ $180 a shot.

Yup, real killer Amazon has there.


Depends on the specs particulars of the 10" tablet. I've seen a lot of really crappy cheap Android tablets that I'd recommend anyone but the most dedicated modder stay far away from because they were using crappy screens (resistive touchscreens or LCDs with crappy viewing angles), underpowered hardware, or had deal breaking issues (like lack of access to the Android Market with the stock software).

The Viewsonic G tablet was the best example of this. It was a great tablet if you knew how to strip off the default ROM and replace it with a Honeycomb port or a version of Cyanogen mod, but it was pure shiat in its stock form, so terrible that Staples yanked them from the shelves because of overall terribleness at the height of the Christmas shopping season. If I was recommending a nice Android tablet for a non-techie family member, I'd send them to buy a Galaxy Tab instead over that Viewsonic POS or that awful tablet that K-Mart was selling last summer.

Luckily, the era of the utterly crappy Android seems to be behind us, and there are going to be a lot of quality Honeycomb and Ice Cream Sandwich devices competing with each other and driving prices down. I really can't blame any regular consumers who sat this last round out, however.
 
2011-05-23 11:46:36 AM

Flogster: Enough with the "this one is the iPad threat, I swear this time" news stories.

I'm not a fan of iPad's, but even I'm getting tired of every new tablet being the next threat to Apple. Tell me about something revolutionary, not a tablet with a different name.


Market domination has nothing to do with being "revolutionary". It's about marketing and brand loyalty. The iPad is proof of this.
 
2011-05-23 11:47:19 AM

sidmind: I don't like the part about them pulling Kindle for the Ipad.
That would be dumb.


Maybe so, but it's pretty hard to blame them. Apple effectively demands 30% of every sale made through the app, and the agreement is structured such that I, an Android, WebOS and Windows user, have to pay higher prices because of Apple's demands. Amazon would only tolerate that for so long.
 
2011-05-23 11:48:39 AM

LesserEvil: Amazon wants to charge $120 more for less tablet. WTF?


A 10" tablet has all the drawbacks of a laptop in terms of carrying it around. A 7" tablet fits in a sport coat breast pocket. If you're aiming for business users, a 7" tablet with HDMI, DVI, or VGA out is a better option.

If you're aiming for the average consumer market, then a larger screen is a better option.
 
2011-05-23 11:52:03 AM

moralpanic: Why the hell would Amazon pull the Kindle reader from Apple? They want the reader on as many devices as possible, since people would be buying Kindle books. Same for the Android app store, why would they only limit apps to Amazon devices? And why would they limit their cloud service to only Amazon devices? The entire point with the cloud service is that you can access it from any device, whether it's my iPhone, my android tablet, or my Windows PC.


Amazon WANTS to have the Kindle app on the iPad, but Apple is insisting that in order for the app to be in store, there be an option where Amazon purchases go through iTunes, which winds up giving Apple 30% of the sale. Amazon obviously doesn't like this idea at all, so they are at an impasse, each side waiting for the other to blink. If the deadline for an agreement to be reached passes without some sort of deal, Apple is going to yank the app from the App Store due to it not complying with their TOS.
 
2011-05-23 11:56:56 AM

SacriliciousBeerSwiller: sidmind: I don't like the part about them pulling Kindle for the Ipad.
That would be dumb.

It's called "hardball". Apple would do the same.


Yeah, "hardball". All those iPad users would have to rely on Apple's book store. Considering the market share of the iPad, there would suddenly be a lot more incentive to get books into the Apple book store. I'm not sure what Amazon would be gaining by that.
 
2011-05-23 11:56:56 AM

Mad_Radhu: Amazon WANTS to have the Kindle app on the iPad, but Apple is insisting that in order for the app to be in store, there be an option where Amazon purchases go through iTunes, which winds up giving Apple 30% of the sale.


And the app developer can't directly link to other means of acquiring, and they can't charge more through the app to offset Apple's take... all in all, Apple is pretty much making life untenable for a lot of devs. Amazon, at least, has the resources to tell Apple to go fark themselves.
 
2011-05-23 11:58:25 AM

moralpanic: Why have something that can only be used for reading, when you can have a tablet that can do so much more?


Well, the one month battery life is something the tablets can't match.

I have a tablet, but for reading, the Kindle is still the best thing out there. Reading on the tablet is only for when I don't have my Kindle handy.
 
2011-05-23 12:00:15 PM

Mad_Radhu: moralpanic: Why the hell would Amazon pull the Kindle reader from Apple? They want the reader on as many devices as possible, since people would be buying Kindle books. Same for the Android app store, why would they only limit apps to Amazon devices? And why would they limit their cloud service to only Amazon devices? The entire point with the cloud service is that you can access it from any device, whether it's my iPhone, my android tablet, or my Windows PC.

Amazon WANTS to have the Kindle app on the iPad, but Apple is insisting that in order for the app to be in store, there be an option where Amazon purchases go through iTunes, which winds up giving Apple 30% of the sale. Amazon obviously doesn't like this idea at all, so they are at an impasse, each side waiting for the other to blink. If the deadline for an agreement to be reached passes without some sort of deal, Apple is going to yank the app from the App Store due to it not complying with their TOS.


Given the patent troll that's currently suing iOS developers for their use of in-app purchasing, I'm betting there will be a shift in Apple's stance pretty soon. I can see in-app purchases still drawing a cut for Apple, but subscription services will probably be exempt or much, much less.
 
2011-05-23 12:01:46 PM

treesloth: And the app developer can't directly link to other means of acquiring, and they can't charge more through the app to offset Apple's take... all in all, Apple is pretty much making life untenable for a lot of devs. Amazon, at least, has the resources to tell Apple to go fark themselves.


They'd be cutting off their nose to spite their face.

If Amazon pulls their kindle app from the iPad, I'm not going to go buy another tablet, I'm just not going to buy e-books from Amazon anymore.

70% of $9.99 is still more than 100% of $0.00
 
2011-05-23 12:02:04 PM

Lsherm: moralpanic: Why have something that can only be used for reading, when you can have a tablet that can do so much more?

Well, the one month battery life is something the tablets can't match.

I have a tablet, but for reading, the Kindle is still the best thing out there. Reading on the tablet is only for when I don't have my Kindle handy.


This. The Kindle is lighter, has a longer battery life, is easier on the eyes, can be read in direct sunlight because the screen isn't reflective and is generally more comfortable to hold in any position than an iPad.
 
2011-05-23 12:02:29 PM

GameSprocket: I'm not sure what Amazon would be gaining by that.


They'd no longer be giving 30% of a significant revenue stream to Apple. If that particular bit of their business isn't profitable, they only gain by cutting out Apple. Thirty percent loss can make a business unit unprofitable. And, for my purposes, I'd be glad to no longer have to pay an Apple tax on my Android device.
 
2011-05-23 12:06:30 PM

treesloth: They'd no longer be giving 30% of a significant revenue stream to Apple. If that particular bit of their business isn't profitable, they only gain by cutting out Apple. Thirty percent loss can make a business unit unprofitable. And, for my purposes, I'd be glad to no longer have to pay an Apple tax on my Android device.


You seem to be talking out of both sides of your mouth.

How can the revenue stream both be unprofitable, *and* have an "apple tax?"

You seem to imply that if amazon pulled the kindle app from iPad, they would lower the prices on e-books... 1)Good luck with that, don't hold your breath, 2) If the Revenue stream is already unprofitable, how could they lower the price?
 
2011-05-23 12:06:54 PM
I got a couple of B & N gift cards for Xmas and grabbed a Nook Color. Runs Cyanogen pretty well and I could care less about cameras. Great for traveling and color periodicals. Specs are a little light but the overclockers have them running at 1.3 ghz now. Maybe not the best for gaming or video if that's your thing but a pretty decent tablet for $200 bucks.
 
2011-05-23 12:08:18 PM

The Homer Tax: If Amazon pulls their kindle app from the iPad, I'm not going to go buy another tablet, I'm just not going to buy e-books from Amazon anymore.

70% of $9.99 is still more than 100% of $0.00


I'm sure they're aware of such factors, and of the more complicated math that shows that your simplistic example is inadequate. What is the cost to Amazon for the product in your example? What is their profit on it? Are they gaining, losing, or just breaking even? Are they losing non-Apple customers who are aware that they're paying more to offset Apple's cut? It's not nearly as simple as you present.
 
2011-05-23 12:08:41 PM

The Homer Tax: 70% of $9.99 is still more than 100% of $0.00


Unless your cut of the $9.99 is less than $3.
 
2011-05-23 12:09:04 PM

Rug_Daniels: Nemo's Brother: After much study (including talking to people who own both), I think the Nook is superior to the Kindle.

The standard YMMV applies:

They're really 2 different things. The Kindle is an ebook reader only. It's got a near useless browser, but it's not meant to be an internet device other than to fetch more content. It really does shine as a reader though, extremely lightweight, crisp text, and easy on the eyes.

From what I've seen from the Nook, it's an Android tablet with an identity crisis. It should just be a tablet, but it doesn't run a full Android build yet (last I checked) and it's a bit heavy to be a full time reader. Seems like a very nice screen, but after staring @ monitors all day, the last thing I want is to try and read a book with a back light 2 feet from my eyes.


The black-and-white Nook, like the Kindle, also has an eInk display, and is a pure eReader. That's what I have, and I love it.

I really hope that the current tablet craze doesn't kill the market niche for pure eReaders using eInk technology. I really, really don't want to read whole books on back-lit LCD screens.
 
2011-05-23 12:13:18 PM

The Homer Tax: You seem to be talking out of both sides of your mouth.


No, I'm speculating. Hence the word "if".

The Homer Tax: How can the revenue stream both can be unprofitable, *and* have because of an "apple tax?"


ftfy

The Homer Tax: You seem to imply that if amazon pulled the kindle app from iPad, they would lower the prices on e-books... 1)Good luck with that, don't hold your breath, 2) If the Revenue stream is already unprofitable, how could they lower the price?


That depends on how they handled the reduced profitability. They don't release that information, but I'm sure you can work out the necessary scenarios.
 
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