Amazon Working on Android ‘Kindle’ Tablet

A very pervasive rumor that Amazon is working on its own Android powered tablet has been around since a few months now. Today, Peter Rojas, the founder of Engadget and GDGT, posted a well reasoned article which outlines Amazon’s tablet strategy.

According to almost everyone in the tech industry, Amazon is (or at least, should be) working on an Android tablet to compete with the Apple iPad. The Amazon tablet will be built by Samsung and will be powered by a heavily customized version of Android which will be tightly integrated with Amazon’s services. It will likely be a 7 inch tablet.

Amazon, currently, is in the best possible position to compete with the Apple iPad. It has almost everything in place to fight Apple – ebooks (Kindle), music (its digital music locker), subscription based video offerings (Amazon Instant Video) and apps and games (Amazon’s own Android App Store).

It will likely price the Amazon Android tablet at much lower than the current average price, knowing that it can make money on content. The Nook Color has already proved that there is a market for a cheap, functional Android tablet. Amazon recently experimented with the Kindle’s pricing, offering a $25 cut for anyone willing to view “special offers” on their Kindle, so it could very well do the same for its Android tablet. Another indication of an Amazon tablet being real is the way in which they don’t really seem to care about Apple’s new in-app purchase / subscription policy which could result in Amazon having to pull the Kindle app from the App Store. If an Amazon tablet were to be launched, such a move could actually help it gain more users.

The Amazon Android Tablet could be the next version of the Kindle – the Amazon Kindle 4. What are your thoughts on an Amazon Android tablet? Let us know in the comments.

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