New 7 and 9-inch Kindle Fire models may be on the way

By on February 10, 2012, 5:30 PM

Following recent news of a seemingly imminent iPad 3 launch, it appears Amazon may have some news of its own. According Pacific Crest analyst Chad Bartley, the jungle-themed sales giant may be planning to roll out new 7 and 9 inch successors to the Kindle Fire.

Pacific Crest analyst Chad Bartley this week raised his Fire sales estimate for this very reason. "We are raising our 2012 sales forecasts to 14.9 million from 12.7 million," he wrote. "But we believe there is an upward bias, particularly from the new 7- and 9-inch models, which we expect to launch in mid-2012."

Source: All Things D

There have long been rumors of an 8.9 inch Kindle Fire variant. However, there are few details other than boldly chosen words shown above. Such a device may not even carry the "Kindle Fire" brand name or even the tablet's unique budget value, so accurate predictions are unlikely at best.

If Bartley's information is correct -- and that's probably a big if -- consumers who originally shunned the 7 inch tablet for its diminutive screen may be lining up this summer in order to purchase its larger counterpart. Creating a larger tablet should increase the Kindle Fire's appeal across a wider audience.

As we mentioned a few months ago, the iSuppli determined that Amazon was selling the Kindle Fire at a small loss. Despite selling the device for less than it costs to manufacture, analysts have recently estimated that each Kindle Fire sold will generate $136 in profit throughout their lives, on average. The extra revenue for Amazon comes from the sale of apps, games, books, music, movies and more.

Originally, Amazon's choice of a 7 inch screen was cited as an effort to keep production costs as low as possible. Fast forward to the future (ie. now) where LCDs are progressively becoming larger and cheaper, it is understandable why Amazon may see this year as the right time to introduce a 9 inch variant.




User Comments: 10

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Guest said:

While I do not doubt the article's validity at saying a Kindle will generate 136 dollars of revenue through its lifetime, I'd just like to hear some opinions from people that do indeed purchase things off official app stores and the cost of purchases to date per device. If you are willing to share of course.

Personally, I had an iPhone 3GS for 2.5 years and bought no apps, and I have yet to purchase any of my Galaxy Nexus. Does the average consumer truly purchase that much content? I'm very interested to hear from fellow techies.

LinkedKube LinkedKube, TechSpot Project Baby, said:

I've spent at least 300usd on app just on my droidx, but then again its rooted, I have a custom rom and its remotely connected to my pc. I do love my gadgets.

Staff
Rick Rick, TechSpot Staff, said:

Guest said:

Does the average consumer truly purchase that much content? I'm very interested to hear from fellow techies.

That's a good question. Personally, I've probably bought about $100 of apps for my phone over a period of 4 years.

I imagine it is easier to spend money on the Kindle for at least *some* people because they'll be buying books too. Your typical eBook is $9.99, which is more than you average app, I bet. Amazon's app revenue is probably higher per dollar spent is definitely higher though.

enocheed said:

Yep you guys are the reason why this economy is in the slump. You guys won't buy apps. You only buy cheap chinese stuff. And since america is the no one worthless app manufacturer. The economy is bad.

LinkedKube LinkedKube, TechSpot Project Baby, said:

enocheed said:

Yep you guys are the reason why this economy is in the slump. You guys won't buy apps. You only buy cheap chinese stuff. And since america is the no one worthless app manufacturer. The economy is bad.

I'm sorry good sir, you must work on wall street...putting the blame on everyone else.

treeski treeski said:

enocheed said:

Yep you guys are the reason why this economy is in the slump. You guys won't buy apps. You only buy cheap chinese stuff. And since america is the no one worthless app manufacturer. The economy is bad.

Most apps are ad supported and still generate revenue.

rvnwlfdroid said:

I have never owned a Nook,Kindle,i(anything). I purchased the org Moto Droid when it first came out Oct 2009ish. Since then I have purchased about $150 worth of apps. Now granted that?s been on 3 different phones. Most of those unfortunately were games so I play them for a while then they sit or get uninstalled. As far as the other purchases, they are still being used on a daily (at least weekly) basis. Those range from email, car dock, printing, remote access, OBD tracking, music/video player, apps for rooted users, to name a few. The nice thing is if they are uninstalled and I get an itch to play/use them again I just reinstall from the market (if they are still available or from Titanium Backup) without having to pay for the app again.

Guest said:

I have a Kindle Fire. I have so far spent about $10 since Christmas. I will likely be spending more in the future, but so far due to the amount of free stuff available, I estimate I will be spending about 5-10 per month at most, not including subscriptions to HuluPlus, Amazon, and Netflix.

Guest said:

I've bought maybe 16-20 bucks worth of apps so far.

matrix86 matrix86 said:

I prefer a tablet over an e-reader. Nook is limited to only Barns & Noble, Kindle is limited to Amazon. A tablet can do both plus PDF, and it can do all the same stuff e-readers can do, so what's the point in limiting yourself? But I guess the issues comes in the pricing. E-readers are much cheaper...but I just can't limit myself like that, lol.

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