October 19th, 2011

more commentary on kFire

R. emailed me this link with the comment: "tablet blathering -- a little less tough to swallow". Definitely an understatement!

http://finance.yahoo.com/news/Amazons-tablet-may-be-hottest-rb-2065212813.html

Hits a good price point. Escalating estimates of how many will sell in Q4. Discussion of possible impact on margin. Then the tail end of the piece is about Prime -- the kFire comes with a couple months free Prime membership.

ChannelAdviser is described as saying Prime customers by at least 3X regular customers after signing up. They expect 5 million kFires in Q4 and 20 million in 2012. UBS analysts estimate 5X-8X increase in purchasing, a year+ after joining Prime and "if half of Kindle Fire users sign up for Prime, Amazon could end 2012 with more than 20 million "heavy-spending" Prime subscribers, they said."

Those are some interesting numbers.