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If they're selling the Fire at a loss, how are they going to destroy the iPad in terms of profit. Mind you I ordered a fire, so I hope to see it succeed.
by btipling 15y ago
If they're selling the Fire at a loss, how are they going to destroy the iPad in terms of profit. Mind you I ordered a fire, so I hope to see it succeed.
- wanorris 15y agoI don't know that this is a correct analysis but the premise of the argument presented is that Amazon is taking a small loss up front, but in return they are effectively shipping you a cash register into which you keep depositing money for Amazon digital and physical goods. If this proves to be correct, then the Fire would be increasing Amazon's sales on other high-margin goods, and the money lost on the device could simply be considered a form of customer acquisition cost.
- jmelloy 15y agoMy $250 iTunes bill this month suggests Apple is also shipping you a cash register.