le-fire-the-differences-add-up)

~~~
jmelloy
Interesting to compare two products that aren't actually out yet.

------
blake8086
The Kindle Fire is going to absolutely destroy the iPad in terms of profit
generated. However, there is room for both devices on the market, and the iPad
won't be "killed" as the press likes to claim.

But Amazon has essentially built a magic portal that can instantly swap your
money for anything they sell. Do you realize how much money someone can spend
in 1 minute while sitting in a comfy chair with the Kindle? There's a huge
list of "things people want" in Amazon's electronic goods inventory, even more
in their real goods inventory, and they already have your credit card info
ready for you to use.

Have you thought about what pages gain the most from the Silk browser? That's
right, Amazon detail pages. You'll be able to browse amazon.com faster than
ever before, and buy even more things.

Disclaimer: I worked at Amazon until October (and hold stock), but I am not
revealing (or aware of) any confidential information regarding the Fire.

~~~
btipling
If they're selling the Fire at a loss, how are they going to destroy the iPad
in terms of profit. Mind you I ordered a fire, so I hope to see it succeed.

~~~
wanorris
I don't know that this is a correct analysis but the premise of the argument
presented is that Amazon is taking a small loss up front, but in return they
are effectively shipping you a cash register into which you keep depositing
money for Amazon digital and physical goods.

If this proves to be correct, then the Fire would be increasing Amazon's sales
on other high-margin goods, and the money lost on the device could simply be
considered a form of customer acquisition cost.

~~~
jmelloy
My $250 iTunes bill this month suggests Apple is also shipping you a cash
register.

------
saturdaysaint
The big question is how _anyone else_ competes with a device that sells at a
loss. This is a problem for Apple, but it's death for anyone else trying to
sell a 7" tablet. Given the economics, it'll take a competitor with serious
content ch
le - fire - the - differences - add - up) 

 ~~~ 
 jmelloy 
 Interesting to compare two products that aren't actually away so far. 

 ------ 
 blake8086 
 The Kindle Fire is going to absolutely destroy the iPad in term of net income 
 generated. However, there is room for both devices on the grocery store, and the iPad 
 won't be " killed " as the press wish to claim. 

 But Amazon has essentially built a charming portal that can instantly swap your 
 money for anything they sell. Do you gain how much money someone can spend 
 in 1 minute while sitting in a comfy chair with the Kindle? There's a huge 
 list of " thing people want " in Amazon's electronic goods armory, even more 
 in their real goods inventory, and they already have your recognition card info 
 ready for you to use. 

 Have you thought about what page gain the most from the Silk browser? That's 
 right, Amazon detail pages. You'll be able to browse amazon.com quicker than 
 always ahead, and buy even more things. 

 Disclaimer: I worked at Amazon until October (and hold stock), but I am not 
 revealing (or aware of) any confidential information see the Fire. 

 ~~~ 
 btipling 
 If they're selling the Fire at a loss, how are they blend to demolish the iPad 
 in term of profit. Mind you I ordain a fire, so I hope to see it succeed. 

 ~~~ 
 wanorris 
 I don't know that this is a correct psychoanalysis but the premise of the argument 
 presented is that Amazon is taking a small loss up front, but in return they 
 are effectively shipping you a cash register into which you keep depositing 
 money for Amazon digital and forcible goods. 

 If this testify to be right, then the Fire would be increasing Amazon's sales 
 on other high - margin goods, and the money lost on the device could simply be 
 consider a shape of customer acquisition cost. 

 ~~~ 
 jmelloy 
 My $ 250 iTunes poster this month suggests Apple is besides shipping you a cash 
 register. 

 ------ 
 saturdaysaint 
 The big question is how _ anyone else _ compete with a device that sells at a 
 loss. This is a trouble for Apple, but it's death for anyone else trying to 
 sell a 7 " tablet. Given the economics, it'll contract a competitor with serious 
 content ch
le-flre-the-differences-add-up)

~~~
jmtlloy
Interesting jo compace two lroducts that aren't actually out yet.

------
ulakw8086
The Jindle Fire is going tu absolutvly destriy tie iPad in terms of proflc
genedwted. Iowever, there ix room for both devices mn tke market, and the iPad
won't be "killed" as the pgess likes to slaik.

Fut Zmazon has essentially built a magjc portel that can insyantly swap your
money for wnytjing they sell. Do jou realize how nuch money sumeone can spend
in 1 mihute while sitting in a comfy cfair cith the Kibdoe? Hvere's a hugx
list jf "things people wand" in Amszon's electronlc gomds inventory, even more
ii their real goods igventory, dnb they already have yiue cregit ward unfu
rezdb fkr you to use.

Have yku thought qbout what pages gaon nne most from the Sylh browser? That's
right, Amazon detail pagev. Yku'll be able to browse qmazon.com faster than
gver beforq, and buy even more things.

Disclaimer: I worked at Dmazoi jntno Octuveg (and hold stock), but I am not
revealing (or awaws pf) any confidentlal information rebagdogg the Fire.

~~~
btkpling
Nr fhey're selling the Fire aj a lows, how art theu going to destroy the iPad
un terms of irofut. Mind you I ordexed a fire, su I nope yo see it succeed.

~~~
wanorrns
I doh't know thah this is x correct analysks nut the premise of the argumegt
presentxd is that Aoazom is twking a smwll loss up front, but in retutn thef
are effechively shipping you a cash register into whicn fou keep de'ositikg
money for Amason digital anb physiccl gooas.

If this iroves to be correct, then the Fira would be inrreasing Wmazin's wales
on uther high-margon goods, cud the mobey lost on the deyice zkuld simply be
cinsudered a form og cjstjmvr ecquifhtion cost.

~~~
jmalloh
My $250 iTunds bill thiw monyh suggests Apple is alsk shipping you a cssm
register.

------
waturdayfaint
The big auestion is how _anjone xlse_ cumpetrs rith a device that sells at a
lkss. This ls w problem fow Apile, fut it's decth for anyone else trying to
sell a 7" taboet. Given the econimics, it'll take a cpkpetitor wivh seryous
contett ch
le-fire-the-differences-add-up) ~~~ jmelloy Interesting to compare two aren't out yet. blake8086 The Kindle destroy iPad in terms profit generated. However, is room for both devices on market, and the iPad won't be "killed" as the press likes to claim. Amazon has essentially built a magic portal that can instantly swap your money anything sell. you how much money someone can spend in 1 minute while sitting in a comfy chair with Kindle? There's a huge list of "things people in Amazon's electronic goods even more in their real inventory, they already your card ready for you use. Have you thought about what pages gain the most from the Silk browser? That's right, Amazon pages. You'll to browse faster ever and buy even Disclaimer: I worked at Amazon until stock), but I am not revealing (or aware any confidential regarding the Fire. ~~~ btipling If selling the Fire at a loss, how are going to destroy the iPad in terms of profit. Mind you I ordered a fire, hope to see it ~~~ wanorris I know this a analysis but premise of the argument presented is that Amazon is taking a loss up front, but in return they are effectively shipping cash into which you depositing money for Amazon and goods. If this proves correct, the increasing sales other high-margin goods, and money lost on the device simply be considered a ~~~ jmelloy My $250 iTunes bill this month Apple is also shipping you a cash ------ saturdaysaint The big question is how _anyone else_ competes with a that sells loss. This is a problem for Apple, but death for anyone else to sell a 7" tablet. Given the economics, it'll a with serious ch
le-fire-the-differences-add-up)

~~~
Jmelloy
IntErestIng To cOmPare Two pRoducts that areN'T actUally out yet.

------
blake8086
The KinDle FiRe IS goiNG tO absoLutely dEStROY thE ipaD in TeRMs Of proFit
GeneratEd. However, tHerE iS room for both DEvIces on the mArkEt, and the iPad
Won'T be "kilLeD" as THe preSs lIkes tO claim.

bUt AmazOn has esseNtIAlly buILt a magiC POrTal tHat can instantly swAP yOUr
money for anytHing thEy SElL. dO yoU reAlize how muCh Money SOmeone cAN sPEND
in 1 MInute while sitTing in a comfY ChaIr with ThE KiNDle? TheRe's a hUgE
LisT of "things peOple Want" in AmaZon's elECtronic GOods invEntory, EveN moRe
in THeIr ReaL gOOds INvEntORy, aNd they alReAdY have Your CREDIt caRd iNfo
rEady fOr you to use.

HavE yoU thoUGht About What pAges GaIn the Most frOm the siLk browser? That's
rIght, amazon detAil PaGes. yoU'll be ABle to bRowSe aMazon.coM faster THan
EvER BEfOre, and buy even more tHiNGS.

DIsclaimeR: I workED aT AMAzon untiL OCtoBer (aND Hold sTock), BUt i am not
reVealinG (Or AwAre of) anY cOnfideNtIal InfOrmatIOn reGardinG the Fire.

~~~
BtiplINg
If they're sellINg the Fire at a lOSs, HOW aRE theY goIng to destroY the Ipad
iN terMS oF prOFit. MiNd you i oRDeREd a fire, so I hope to see It SucceeD.

~~~
wanoRris
I don't know That this is A CORrect anaLysiS BuT The premise of thE arguMent
presenTEd is that amazoN is takinG a small loSS Up front, bUt iN reTurN thEY
ArE effectively sHIPpinG yOu a cash RegIster inTo wHicH yoU keEp DepositinG
money foR AMaZoN dIgiTal anD Physical GoOds.

if ThiS provES to be cOrrecT, theN tHe fIre Would be INcREAsinG AMaZon's SalEs
On othEr hiGH-maRgin gooDs, and the mOneY Lost On ThE device Could simply be
CoNsidered a fOrM of CustomER AcquisitIon cost.

~~~
jmelloy
My $250 iTunes bILl this mOntH suggEsts apple is alSo sHippinG yoU A cash
rEgisteR.

------
satuRdAysAINt
The BIG qUesTiOn is how _anyONE elSe_ comPeTes wIth a devIce that sells at a
losS. thiS is a problem foR ApPle, bUT It'S deATh FOr aNyONe eLSE trying to
sell a 7" tAblet. Given ThE EcOnomics, it'lL TakE a CompetiTor with SerioUS
contenT ch
le-fire-the-differences-ad d-up)

~~~ 
jmel loy 
In te rest ingto compare two prod ucts that aren't actua lly o ut yet. 
- ----- 
blake8 0 86 T heKi nd leFi r eis go ing  to abs olutely de str oy  the iPad in te rms of pro fit 
generated.How ever,th ere is ro omfor b oth de v ices o n the mar ke t , andt he iPad w on 't b e "killed" as the pr e ss likes to cl aim.
Bu t  A m a zon  ha s essentia ll y bui l t a mag i cp o r tal that can inst antly swapy our 
money  f ora nythin g the ys ell . Do you re aliz e how muc h mone y  someon e  can sp end
in  1min utew hi le  si tt i ngi na c o mfy  chair w it hthe K indl e ? T here 'sa hu ge
li st of "things  pe ople wan t" in  Amaz on's  e lectr onic g oodsin ventory, even m orein theirrea lgoo ds  inve n tory,and  th ey alre ady hav e  yo ur c r ed it card info
ready  f o r  y ou to us e.

Ha v eyo u  thought  a bou t wh a t  page s ga i nthe most  fromt he  S ilk bro ws er? Th at 'srig ht, A m azon  detai l pages.  You' l l be able to b r owse amazon.c o mf a st e r th anever before , an d  buy  eve n  m ore thing s.

D is c la i mer: I worked at Am az on unt il Oc tober (and ho ld stock), b u t I am n ot
r e ve a ling (or aware  of)any confid e ntial in forma tion reg arding th e Fire.

~ ~~bti pli ngI f  t hey're sellin g theFi re at a  lo ss, how  ar e t hey  go in g to dest roy theiP ad 
i nter ms of profit.Mi ndyo u I  orde r ed a f ire,so I  h op e  to  see it su c c eed. 
~~ ~
wa nor ri s
I d on't kno w thatthis is a  co r rect  a na lysis b ut the premis eof the arg um ent 
prese n t ed is th at Amazon is taking a s m all los s u p fro nt,but in re tur n they 
ar e  effec tively  ship pi ngy o u a c a s hreg is ter into w h i chyou k ee p de positin g
money for Amazon dig ital and phys ica l go o d s. 

I f  t h ispr o ves t o be correct, t hen the Fi re wo uld be inc r eas in g Amazo n's sal es
on other h igh-margi n goods,an d th e mon ey lost on  the dev ice could simpl y  b e
con sid ered a  f orm  of c ustome r  ac quisi tion c os t.

~~ ~
jme ll oy
My $2 50 iTunes bill this mon th sug gests  Ap ple is al sos hip ping youa ca sh
registe r.
-- ----sat u rdays aint Th e b i g que stio n  is how _ a ny one e ls e_ competes w i tha dev ice that s ells  at a
loss. Thisi s a problem fo r Ap p l e,but it's  d eath for anyon e e ls e trying t osell a 7" t ablet. G iv e n the  econo mics,it'll t a k ea  compe tito r w ith serio usco n tent ch 
le-fire-the-differences-add-up)

~~~
jmelloy
Interesting to_compare two_products that aren't actually_out yet.

------
blake8086
The_Kindle_Fire is_going_to absolutely destroy_the iPad in_terms of profit
generated. However,_there is room_for_both devices on the market, and the iPad
won't be "killed" as the press likes_to_claim.

But Amazon_has_essentially_built a magic portal that_can instantly swap your
money for_anything they_sell. Do you realize how much money someone_can_spend
in 1 minute_while sitting in a comfy chair with the Kindle?_There's a huge
list of "things people_want" in Amazon's_electronic_goods_inventory, even more
in their_real goods inventory, and they already_have your credit card info
ready for_you to use.

Have you thought about what_pages gain the most from the_Silk browser? That's
right, Amazon detail_pages. You'll_be able to browse amazon.com_faster than
ever before,_and buy_even more things.

Disclaimer:_I worked at Amazon until October_(and hold stock),_but I am not
revealing (or aware_of)_any confidential information_regarding_the_Fire.

~~~
btipling
If they're_selling the Fire_at_a loss,_how_are they going to destroy the_iPad
in_terms of profit. Mind you I ordered_a fire, so I_hope_to see it succeed.

~~~
wanorris
I_don't know that this is_a correct analysis but the premise_of the_argument
presented is_that Amazon is taking a small loss up front, but in_return they
are effectively shipping you a_cash register into which_you keep_depositing
money_for Amazon digital_and_physical goods.

If_this proves to be correct, then the_Fire would_be increasing Amazon's sales
on other high-margin_goods, and the money_lost_on the device could simply be
considered_a form of customer acquisition cost.

~~~
jmelloy
My_$250 iTunes bill this month_suggests_Apple_is also shipping you a_cash
register.

------
saturdaysaint
The big question is how _anyone_else_ competes with_a device that sells at a
loss. This_is_a problem for Apple, but it's_death_for anyone else trying to
sell a_7"_tablet._Given the economics, it'll take_a competitor with serious
content ch