Amazon is Going for Apple’s Jugular With This Move

Amazon (NASDAQ:AMZN) is rumored to be suspending the launch of its speculated 8.9-inch Kindle Fire as it prepares to launch a 10.1-inch model in the third quarter.

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Despite being significantly more affordable than Apple’s (NASDAQ:AAPL) iPad, one of the major complaints people have had over Amazon’s Kindle Fire is its relatively small 7-inch screen. Surely, a larger display screen would put additional competitive heat on the iPad, which is currently the most popular tablet on the market. The iPad is the only tablet line that sells better than the Kindle Fire.

The originally planned 8.9-inch model was meant to take on Samsung’s Galaxy Note tablets. Amazon abandoned those plans in order to simplify its line-up and to keep its eye on winning the bigger prize — beating Apple. Or more realistically, grabbing a bit of its market share.

According to industry source, Amazon’s tablet PC orders are expected to start gaining momentum at the end of the second quarter or early in the third. The shipments will include an entry-level as well as an advanced 7-inch Kindle Fire tablet. The online retail giant is expected to ship 30-40 million tablets in 2012.

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