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ABI Research estimates Amazon (AMZN +2.8%) only needs to generate about $10 in content sales a...

ABI Research estimates Amazon (AMZN +2.8%) only needs to generate about $10 in content sales a month per Kindle Fire to generate a cozy 20% profit margin on the device. It's a plausible goal that helps make the Kindle Fire a "credible proposition," according to the firm.
Comments (4)
  • "per month", "per Kindle". Yes, right. It's the same as expecting Apple's higher-end 500 million iOS devices to each generate $10 per month per device, or $60 billion per year. AAPL's revenue from iTunes is a fraction of that.
    24 Jan 2013, 11:09 AM Reply Like
  • This is just hope, but the ability of AMZN's management and analysts is to feed those hopes pushing always in the future their realization.
    24 Jan 2013, 12:34 PM Reply Like
  • 10 per month is too high to spend on kindle. I rarely pay for apps even on iphone. I mostly get free apps. May be the comment was meant to say 10 bucks per year
    24 Jan 2013, 03:06 PM Reply Like
  • Consumers using Kindle are much more frugal than those using iPad. It is not possible for Kindle users spend more money on content than iPad users.
    24 Jan 2013, 03:10 PM Reply Like
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