The 7-inch kindle Fire is more of a challenge to Apple iPad than the others

Oct 4, 2011 15:12 GMT  ·  By

Amazon managed to practically start a chain reaction when it designed its e-reader, leading to the big e-reader market of today, but it might just manage to cause some big waves on the tablet market as well, now that the Fire is out and about.

As soon as it showed up, the 7-inch Kindle Fire tablet turned heads en masse, with its price of $199 in the US (exchange rates say that's 146 Euro).

Simply put, showing up in a field where pretty much every rival sells for around $500 (and nearly as many Euro on the old continent) couldn't actually go by without without prompting a strong reaction.

Analysts have now begun to say that this portable electronic has everything it needs to reshape the tablet sector, maybe even drive other slates out of business altogether.

The matter arose that Amazon, instead of a Google-authenticated version of Android, employed a 'fork' of the mobile OS, which lacks Google's services.

Amazon makes up for it through offering its own content and services, however, so analysts suggest that it might be a good idea for makers of Android tablets to switch to Amazon, even at Google's expense.

“[There is] a real possibility that the existing tablet makers [will] team up with Amazon and offer its experience on their hardware,” said Richard Windsor, technology securities analyst at Nomura International.

"The main effect of the potential sea change triggered by Amazon could be a change in roadmap to cheaper products or possible tie-ups with Amazon."

It is the analysts' belief that companies would do well to call on Amazon and emulate the low pricing strategy, since keeping the prices high will work no longer.

"With the advent of the Amazon Kindle Fire, many of the other tablet makers are in a bit of a quandary as they are left with expensive tablets without a comprehensive content offering."