Did Apple Pressure Target to Dump Kindle?
It seems like Apple (NASDAQ:AAPL) is giving its famous most-favored status a new meaning. Target (NYSE:TGT), which in January partnered with Apple on a special store-within-a-store concept, is reportedly planning to stop selling Amazon’s (NASDAQ:AMZN) Kindle lineup.
Amazon’s Kindle Fire is the closest competitor to Apple’s iPad with its 50 percent share of the Google (NASDAQ:GOOG) Android tablet market, and offers a price advantage by being $300 cheaper than the entry-level iPad.
The Kindle Fire has also been a best-seller for Target, but according to website The Verge, the retail chain has released an internal memo to its stores announcing the removal of all Amazon hardware from its locations starting this month.
Kindle devices will reportedly no longer be available in Target stores beginning May 13, though some accessories will remain in stock. The device has already been taken off the store’s online catalog. The Verge says Target is taking the action because of a supposed “conflict of interest.”
The Target and Apple partnership placed special displays of the latter’s merchandise at the former’s stores. It looks like the shopping area is not large enough to house two competing tablet brands.