Kindle May Have Stolen 2 Million Sales From iPad Over Holidays
Kindle sales are on fire! Amazon is really burning up the sales charts! And other hackneyed fire analogies.
A research note, made public by Cnet, from investment bank Morgan Keenan indicates that Apple might have taken a larger than expected hit from sales of Amazon's Kindle tablet during the Christmas shopping season. The report estimates that "maybe 1 [million to] 2 million" in Kindle sales came at the expense of Apple. "We are lowering our unit shipment estimates for iPad in the quarter," the report says, "from 16 million to 13 million. Based on data from Amazon, we believe the Amazon Fire likely sold 4 [million to] 5 million units this holiday season".
The report concludes that "We expect iPad revenues to generate 21.3 percent of revenues in the December quarter for Apple, up from 17.2 percent in the year-ago period, although down from 24.3 percent in the previous quarter". That kind of dent is almost certainly a big reason why Apple apparently plans to slash the price of iPad 2 when they announce iPad 3, to an astonishing $299. If the differences between iPad 3 and iPad 2 are as narrow as between 2 and 1, Apple is likely to pick up a lot of new customers. That's still pricier than Kindle's $199 price tag, and it's still going to sting for the 16 million or so people who paid full price over the holidays, but with a bigger screen and more features, a mere hundred dollar difference is a bargain.
In the meantime, Amazon can bask in the glow of having successfully competed with Apple, and probably make Microsoft feel very self conscious.
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I wonder how many nook devices sold. According to reports they're up 70% from last year but I can't find any 'real' numbers. As for my own experience, significantly more people around me went with the Nook rather than the Kindle.
I love my Nook Color/Tablet (rooted color). It's the right size, the right weight and the right price. To bad it only overclocks to 1100mhz stable.
The latest word on the Nook is that the financially strapped Barnes and Noble is looking at trying to unload the entire Nook business. Despite reports that Nooks sales increased by 70% it has still been a cash drain on the company. Apparently B&N wants to refocus on their brick and mortar stores and is looking to unload the digital side of their business.
good
Another indication of just how technologically clueless the masses are. Imagine buying a proprietary
tablet from a store restricting your access to other stores, and only running a hacked Android distribution. I will say though that given its price and hardware, it is a much smarter purchase than one of those locked-down drm infested iPad coffins.
lawsuit from apple in 3...2...1
apple is nothing but full of sore losers
This makes me feel all warm and fuzzy inside....
I love how the term sales stolen is used. You know because those sales were Apples by decree of god.
The latest word on the Nook is that the financially strapped Barnes and Noble is looking at trying to unload the entire Nook business. Despite reports that Nooks sales increased by 70% it has still been a cash drain on the company. Apparently B&N wants to refocus on their brick and mortar stores and is looking to unload the digital side of their business.
More likely B&N is looking to sale some stuff and give its shareholders a stock swap in the process, so that they shareholders don't lose everything when B&N files for bankruptcy....
That said, i don't think the Nook would be worth much, if anything without the B&N name and stores behind it. People buy the Nook because they like the stores. Take away the store and the Nook is about as appealing as Motorola tablet.
The latest word on the Nook is that the financially strapped Barnes and Noble is looking at trying to unload the entire Nook business. Despite reports that Nooks sales increased by 70% it has still been a cash drain on the company. Apparently B&N wants to refocus on their brick and mortar stores and is looking to unload the digital side of their business.
That sounds a bit short sighted. You've got to diversify as consumers can be a difficult bunch with changing interests. But American businesses where never good at long term planning. They always look to the next quarterly report.
The latest word on the Nook is that the financially strapped Barnes and Noble is looking at trying to unload the entire Nook business. Despite reports that Nooks sales increased by 70% it has still been a cash drain on the company. Apparently B&N wants to refocus on their brick and mortar stores and is looking to unload the digital side of their business.
that would be the end of them.
How much of a win is it when you have to sell something at a loss to compete? I'm not buying stock in Amazon.
I'm skeptical that they took sales from the ipad. The kindle sold at a price point that tempted people into buying a tablet that probably wouldn't have laid down the cash for an ipad. The ipad is a premium product compared to the kindle. Personally I just bought a 4.65 inch phone and called it good, why have two devices instead of one?
Afsasf
And what can the ipad do that the fire cant, premium it maybe but you got to be a special kind of daft to spend an extra 200 odd for a similar functioning device
I'm skeptical that they took sales from the ipad. The kindle sold at a price point that tempted people into buying a tablet that probably wouldn't have laid down the cash for an ipad. The ipad is a premium product compared to the kindle. Personally I just bought a 4.65 inch phone and called it good, why have two devices instead of one?
Ahh, but you need to look at the bigger picture here. Sure they sell all models of the Kindle at a loss. I think it's brilliant on their part! I gave my wife a Kindle Touch for christmas and she has already purchased ten books from Amazon. Digital content costs them MUCH less than dealing with paper. Their making money hand over fist with this!
News report title should be, 2 millions would-be-suckers were saved by Kindle.
Best Buy as bens full of Fires that were returned on Dec 26th...
The latest word on the Nook is that the financially strapped Barnes and Noble is looking at trying to unload the entire Nook business. Despite reports that Nooks sales increased by 70% it has still been a cash drain on the company. Apparently B&N wants to refocus on their brick and mortar stores and is looking to unload the digital side of their business.
That will be sad if B&N actually heads to that direction. Haven't they learned from the fall of Borders and the rise of Amazon?
Ahh, but you need to look at the bigger picture here. Sure they sell all models of the Kindle at a loss. I think it's brilliant on their part! I gave my wife a Kindle Touch for christmas and she has already purchased ten books from Amazon. Digital content costs them MUCH less than dealing with paper. Their making money hand over fist with this!
I agree with you. Amazon is not serious of getting money out from their Kindles. Kindles are just a plateform for them to sell their books, Apps, and digital contents (videos, musics.....)
AfsasfAnd what can the ipad do that the fire cant, premium it maybe but you got to be a special kind of daft to spend an extra 200 odd for a similar functioning device
I think you are a special kind of daft if you are clueless on what the limitations of Kindle are compared to the iPad. There are several web sites that cover this at the hardware level and plenty of feedback on performance/responsiveness issues with the Kindle. Personal choice based on what one can afford, certainly.
I wouldn't put much credence in a report that Apple will be releasing the next generation of iPads at MacWorld. When was the last time Apple released a major product at MacWorld? iPad is big enough to deserve its own event. But Fire or no Fire, it's not a bad guess that Apple will sooner or later adopt the same strategy they've used with their phones, selling last year's model at a discount. I don't think that many of the people who bought the Fire would have otherwise bought an iPad. On the other hand, it may be a way for some consumers to try out a pad for cheap--and then they may decide to give the kids the Fire and buy an iPad for themselves.
On the other hand, it may be a way for some consumers to try out a pad for cheap--and then they may decide to give the kids the Fire and buy an iPad for themselves.
True.... but if they are smart shoppers they may end up buying a Android Tablet so they can still use whatever they have bought for their Fire.
And what can the ipad do that the fire cant, premium it maybe but you got to be a special kind of daft to spend an extra 200 odd for a similar functioning device
It's got the Apple logo on it. That means it serves as a membership card to the apple club. The kindle is only useful if you actually use the device for it's intended purpose. If you want a "real" fashion accessory then you have no choice but to buy a gadget with the apple logo on it. The flock will banish you without your ID badge.
Hey should keep in mind the Nook and Kindles dont have the memory, screen, CPU power, gpu power or cameras of an ipad2. They may sell a $300 8mb ipad2... Even $350 would be a fair price.
stolen is a stupid choice of words, you make it sound like those sales were apples to begin with.
Amazon seem to be following the printer sales model. Most printers are sold cheap and the companies make their money selling the ink and toner the printers will later require. It is a sale model that works very well.
Really? STOLEN sales? You mean Apple DESERVED those sales?
Isn't it waaaaaay more likely that people who bought inexpensive kindles at $200 (which run android) would have been more likely to buy one of the many available android tablet models for $300- $400, before they bought a $500 ipad?
people will always want a cheap device for tablet. with tablets like kindle fire, apple's overpriced fad/hype machine will die down. apple has nothing after ipad 2S/3, nothing new other than higher res. screen.
amazon is showing ther way to cheaper device.
Third- or fourth-posting the whole, "stolen from iPad" idiocy. That's really just crappy press right there, Ross. Don't belittle yourself so much - people are reading your articles and might actually think you're an idiot. And we both know you're not. You're better than that.
It's got the Apple logo on it. That means it serves as a membership card to the apple club. The kindle is only useful if you actually use the device for it's intended purpose. If you want a "real" fashion accessory then you have no choice but to buy a gadget with the apple logo on it. The flock will banish you without your ID badge.
Simply brilliant, Nurgle. Indeed, when was the last time you saw an Apple user actually "compute" anything? They can't even do math in the first place. There's no reason an Apple user actually needs a computer, except as a fashion statement.
Once again all the Apple haters show up for comments. I suspect the sales were "stolen" from all the other Android devices. Where are the sales figures for everyone else who was selling Android devices. The Kindle Fire is not in the same market space as the Ipad. I suspect Apple did just fine on sales of the Ipad 2. I do not own a Kindle Fire or and Ipad myself. I bought the HP touchpad during the fire sale and I am using Android on it as well as WebOS. Would have been a great device if HP had made it lighter and added an memory expansion slot. I suspect the Blackberry Playbook will "steal" a lot of sales from Kindle Fire during its fire sale.