People who were hoping that something could oust the iPad may rejoice

Dec 2, 2011 20:31 GMT  ·  By

Again, analysts are fussing over the Amazon Kindle Fire, with iSuppli taking its turn at stating how likely it is to finally dethrone the iPad as top-selling tablet.

Amazon's 7-inch device, which costs about $199 (about 149 EUR), hasn't been around for more than two weeks or so.

Nonetheless, it has proven to be a very disruptive piece of work, simply because it is just so much more affordable than every other tablet out there.

Reviews didn't find it all that extraordinary, but it works and has access to Amazon's e-book store, the online library and all other web-based Amazon services.

All this composed a recipe for success that even the Apple iPad doesn't seem poised to match, not as long as it continues to sell for $500.

Granted, the iPad is bigger and more multimedia-oriented, but that didn't stop it from losing first place as best-selling tablet on BestBuy.

What iSuppli now says is that the Kindle Fire could very well become the second best-selling tablet worldwide by the end of the ongoing quarter (Q4, 1011).

About 3.9 million models will be sold during October-December, or so the analyst firm believes.

Considering that shipments of 3-4 million slates have already happened, this projection doesn't seem far-fetched at all.

“Initial market response strongly suggests that Amazon, with the Kindle Fire, has found the right combination of savvy pricing, astute marketing, accessible content and an appropriate business model, positioning the Kindle Fire to appeal to a brand-new set of media tablet buyers. The production plans make it clear that Amazon is betting big on the product,” said Rhoda Alexander, senior manager, tablet and monitor research for IHS.

“Amazon plans to use the Kindle Fire to drive sales of physical goods that comprise the majority of the company’s business. As long as this strategy is successful, the company can afford to take a loss on the hardware—while its Android competitors cannot.”