Amazon Updates 7″ Tablet, Lowers Price on 8″ Version (May 18, 2017)
The tablet market continues to be one of the most interesting in consumer electronics. Having grown faster than any other previous new category, it’s been in decline now for several years, with almost all players seeing declines in sales. Amazon’s chunk of the market has always focused on smaller, cheaper tablets, partly a reflection of its inability to compete in premium hardware but also reflective of a broader strategy of selling devices at or below cost to stimulate investment in its ecosystem. It’s now refreshing its 7″ tablet, its cheapest and most popular version, and also lowering the price on its slightly higher end 8″ version, a sign that it’s still very interested in the category. That’s interesting at a time when Apple has said its sub-9.7″ tablets are the only segment of its iPad business that’s declining, and when it’s reported to be considering phasing the smaller iPad mini out altogether. What we’re seeing in some ways is an increasing bifurcation of the market between larger premium tablets used by adults for work and other more sophisticated tasks and smaller cheaper tablets used mostly for video watching and to a greater extent by kids.
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