Despite expectation Amazon’s tablet could challenge the iPad, analysts aren’t setting the bar too high for immediate sales. Indeed, the internet retailer will sell just 2 million of its 7-inch devices for the remainder of this year, one Wall Street expert suggests.
Just 6.4 million of the 7-inch color tablets will be sold for all of 2012 – just 1.5 million of the 10-inch versions, according to Barclays analyst Anthony DiClemente Tuesday morning. To put that in perspective, Apple is expected to sell 48.7 million iPads in 2012.
In August, we reported on a Wall Street Journal article suggesting Amazon could introduce an Android-powered tablet in September for about $299. However, today’s analyst note does not carry the concern that came with tablet attempts by larger PC makers, such as HP or cell phone manufacturers, such as RIM.
When HP and RIM both flopped in tries to attack the iPad’s dominance, the two companies lost face, along with shareholder confidence. However, Amazon’s meager expectations for its tablet bid are viewed more as a cottage industry for the retail giant. The Kindle, for example, is expected to net 21 million units sold, according to one report. Still, the Kindle and any tablet will remain a fraction of Amazon’s income. The low expectations allow Amazon to tinker with the design and its marketing strategy without the high pressure and bright lights of a company that has huge pressure to produce a knock-out blow.
