According to quoted supply chain sources, Digitimes reports that orders for Amazon’s Kindle Fire will be slashed by up to half in the wake of a looming iPad 3 launch.

Amazon have yet to release official numbers, but have touted the Kindle Fire as their “most successful product ever.” It is estimated that 6 million units were reportedly during the holiday quarter 2011, with this latest report pointing to a total shipping volume reduction of 50% in just one quarter.

The numbers show that the build-up in iPad 3 rumors and anticipation of an early 2012 launch for Apple’s next-generation tablet are hurting the Kindle Fire, whose entry-level $199 price point made it the 2nd most successful tablet of 2011 – after the iPad 2.

The iPad 3 has been rumored to feature a high-definition “retina” display, quad-core processor, upgraded front and rear cameras, LTE technology and a launch-date in February or March of this year.

  1. How can Amazon’s Kindle Fire be successful when it costs more to manufacture than its selling price? By selling Kindle Fire at a loss means lack of faith in the product.

  2. Or it’s a loss leader, which businesses use all the time to create profit elsewhere.  Amazon didn’t create the Fire to make money off the tablet itself.  They created the Fire to make money off the media it offers consumer Fire owners will consume with the device.

  3. Wow! I just read the leaked iPad 3 feature list and release date, and I must say it’s pretty amazing. Can’t wait to pick mine up!

    If you guys want to check out the leaked iPad 3 information, just check the link below –

    ipad3leak . com . nu

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