May, 03 2012

The Kindle Fire quickly became the top-selling Android tablet in the market, but it seems their success is not lasting as long as one would think. In fact, it is probably becoming the top declining Android tablet, as well.

According to IDC’s study of global shipments, Amazon’s Kindle Fire quickly became the second top-selling tablet in the market during Q4, 2011 (After the iPad). With a 16.8% market share, the company managed to ship over 4.8 million units in just one quarter. Things are not looking very bright for Amazon now, though.

The Kindle Fire has seen a substantial decrease in sales during Q1, 2012. Its share went down to a mere 4%, over a fourth less than what it was during the past quarter.

But what could be the reason? Current Android devices are known for having a short lifespan. Phones and tablets tend to be way outdated in less than a year. But lower-end, affordable products experience this phenomena in a much stronger manner.

The Kindle Fire stormed through the market due to its substantially lower price. It was definitely the best bang for your buck, then. But with technology moving forward, and prices lowering, these affordable devices tend to be overshadowed by the new guys much quicker.

We have the ASUS Transformer Pad 300 going for as low as $379.99. The Samsung Galaxy Tab 2 7.0 is going for $250. Hell, the Nexus Tablet is rumored to cost no more than $250, and that will be Tegra 3 tablet. The Kindle Fire simply has too much competition now. It is no longer as relevant, as other manufacturers are now releasing better tablets with similar price tags.

We will have to see how Amazon plays its game in the future, but the company is still not doing bad. Owning 4% of the market with a single device could still be considered a success. It just happened to see a very quick fall. What do you guys say? Will Amazon be as successful now that other manufacturers are releasing competitive tablets (both in specs and price)?

[Source: IDC Via: All Things Digital]

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