Kindle sales soar but Amazon mum on actual numbers
Posted 01 February 2012 - 06:16 AM
What makes this problematic is that it has become very common for people to make the error of saying "unit sales increased 177%" when what actually happened is that unit sales were 177% of what they were in the reference quarter. Without actual numbers, we have no way of knowing what was really meant.
Posted 01 February 2012 - 08:00 AM
As best I can tell, Amazon simply doesn't 'get' apps. The apps selection for epaper Kindles is pitiful. I've purchased about 250 apps for my iPhone. I've yet to find even a single free app for my Kindle 3 that's worth downloading. Attracted by the price, I thought about getting a Kindle Fire, but changed my mind when I realized the quality of apps was unlikely to be as good as that on an iPad. I'd be paying $200 for a gadget whose sole reason for existing is to consume Amazon content. I'd be better off waiting and putting that $200 toward a second-hand iPad. Used ones go for about $250 in Seattle.
Of course, Apple doesn't make any money when people buy used, so if they really want to give Steve Bezos some sleepless nights, they need iPads with competitive prices. Keeping the iPhone 3GS available at a better price when the iPhone 4 was released was a good move. That's why I was able to afford one.
Apple needs to do the same thing when the iPad 3 comes out. Keeping a 16 GB iPad 2 available for $350 would have Amazon scrambling to keep their Kindle Fire sales numbers up. And it'd come at a time when consumers are starting to grasp the limitations of the Kindle Fire.
Posted 01 February 2012 - 11:02 AM
Posted 01 February 2012 - 11:42 AM
Yesterday's Apple did, too. The release of the iOS SDK (specifically including documentation suitable for external developers, which is a very time-intensive task) was far too quick for it to have been a reaction to feedback rather than a planned event that simply wasn't ready in time for the release of the phone.
Apple doesn't make money *directly* when people buy a used iPad from someone other than Apple, but they still benefit indirectly. That said, I certainly agree that keeping a cheaper iPad 2 around when/if the iPad 3 is released at the traditional price points would be a major concern for *all* potential competitors. Apple's in the catbird seat as far as control over a lot of the necessary components. The prices other tablet makers are paying for those basic pieces are really squeezing their profit margins if they're also trying to stay price competitive today.