Amazon Kindle Fire Tablet

Smartphone prices are going down. You can buy an ‘okay’ phone for $99 or less. While performance will not be as blazing fast or as smooth as premium models, entry-level phones are good enough for basic mobile computing, access to the Internet, checking mails, or social networking. Truth is, not everyone can afford mobile devices with price tags that read hundreds of dollars.

Amazon is struggling to sell more expensive tablets so it’s planning to sell cheaper ones very soon. Nothing has been confirmed by the online retailer yet but we’ve been hearing information that Amazon will introduce a 6-inch tablet for only $50. That’s even cheaper than most affordable smartphones right now. That’s about half the price of the $99 Fire HD that is presently Amazon’s flagship tablet.

The Fire HD is already affordable but Amazon wants to enter a lower market tier. A tablet for fifty-dollars will definitely be one of the least expensive today. Amazon has always aimed to rival the iPad but it’s having a hard time. Maybe with this affordable tablet, people will take notice and buy a device they can use for simple tasks like online shopping, reading ebooks, playing games, streaming video, playing music, and more. Just don’t mind the low screen resolution, short battery life, or less than stellar audio-quality.

According to sources, Amazon is planning to introduce more tablets with 10-inch and 8-inch screens aside from the $50 6-inch device. The low prices are expected to attract more people even if they know some features and specs are compromised. A tablet for that price is not at all bad–just don’t set high expectations.

At present, Amazon’s cheapest tablet is already $79. Affordable but slashing off the price might make a real difference in sales. On the other hand, other people might think it’s not worth the money. There’s also Apple that is expected to release the new iPhone, iPad, and iPad mini this week. Those are expensive devices but you know Apple, it can surprise us with great products with great prices.

The Amazon Fire smartphone is a flop because of its high price. Amazon was humble enough to say there’s unsold inventory and that they would take a $170 million-write down. Because of this, some changes were made within the company and sadly, a percentage of employees lost their jobs. To manufacture the low-cost tablet, Amazon is believed to be already working with Chinese firms like Shanghai Huaqin Telecom Technology Co and Compal Communications Inc.

VIA: WSJ