The company calculated that , on average, an incremental profit of about $3 in each month of a Kindle Fire's lifespan to achieve an overall profit margin of 20%.
The Kindle Fire HD received great reviews and is a favorite for sideloading tips. Features of the Kindle Fire HD 8.9" include dual band Wi-Fi, Dolby audio. 1.5GHz dual-core processor, dual-band Wi-Fi, front-facing HD camera, free unlimited cloud storage, Kindle FreeTime and free Super Saver shipping.
ABI Research contends that their research shows that Kindle Fire is a credible proposition.
ABI expects that there will be a certain level of ‘innovation plateauing’ in mobile hardware taking place over the next five years, and that would certainly work in Amazon’s favor. Its future devices are likely to require less cross-subsidy than the recent cases.
ABI Research estimates that altogether the Kindle, Amazon Mobile, Cloud Drive, and Price Check apps have seen over 180 million downloads
"Kindle Fire may look like an aggressive push into a whole new market, but it’s more of a defensive play, born out of necessity. If Amazon bet its post-PC future only on the web and apps, it would be dangerously exposed to the likes of Apple and Google. Whoever controls the platform has a more frictionless relationship with the user, and that relationship can become real poison for any third party that relies on the same platform for its own business,' s.aid ABI analyst Aapo Markkanen.