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Amazon (AMZN) Tablet Price Expected to Undercut Apple's (AAPL) iPad

May 23, 2011 2:17 PM EDT
Amazon.com (Nasdaq: AMZN) is expected to enter the highly-competitive (yet cornered) tablet PC market with its own offering -- a device which will likely be cheaper than Apple's (Nasdaq: AAPL) iPad.

According to PC Mag, the Amazon tablet, available in 7- and 10-inch sizes, will be priced about $349 for the smaller version and $449 for the larger one.

Sources believes Amazon isn't going to attempt to topple Apple's tablet empire, rather aim at competitors using Google's (Nasdaq: GOOG) Android-based operating system.

NVIDIA's (Nasdaq: NVDA) quad-core Tegra SoC will be used in the devices, according to Engadget. The device may also switch between e-Ink and a color LCD display, possibly aiming at saving energy and/or continuing to make e-Books readable in sunlight.

Tablet computing is a competitive market; PC Mag pointed out 75 new tablets were introduced at CES last January, and another 50 are expected to be debuted at Computex in Taipei.

Expectations are for the tablet -- like Amazon's Kindle -- to debut ahead of the 2011 holiday season.

Amazon stock is trading 1.9 percent lower Monday afternoon.


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