You say samsung lose margin to retailers. Well amazon lose margin to manufacturers the same way. Prices haven't been reasonable yet because Apple showed people

You say samsung lose margin to retailers. Well amazon lose margin to manufacturers the same way. Prices haven't been reasonable yet because Apple showed people will pay a hefty premium; android tablet makers neither wanted to shrink this pie nor to appear inferior ('cheap'). Amazon is selling the fire as an upsell on an ebook reader, so they can't afford this luxury; $200 is already expensive for what is primarily positioned as a book replacement device. As for google, they have motorolla. And their 'content sales' is web use ( > advertising). But do they need a cheap tablet? No, Amazon is making it for them already, for a $10 loss.