

Amazon Will Lose $50 For Every Kindle Fire Tablet Sold. Here's Why? - dkd903
http://www.businessinsider.com/amazon-losing-money-on-the-kindle-fire-2011-9

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Toddward
The article notes this, but the fact that Amazon is losing money on the
_hardware_ is irrelevant - it's so well connected to the rest of Amazon's
service offerings that any loss on manufacturing the tablet will most likely
be meaningless in the long run.

This is a gamble worth taking for Amazon - they have a ton to gain by
undercutting the price of the Nook Color (not to mention the iPad and
countless Android imitators).

