Amazon has unveiled three new versions of its Kindle Fire tablet, as the online retail giant looks to take on Apple’s iPad and Google’s new Nexus 7. The new version, called ‘Kindle Fire HD’, will also use a partly ad-funded business model. The devices come with ads, called “special offers” that appear when screens are locked and in the corner of the home screen, helping Amazon keep prices low.
Examples of special offers include a $5 credit in the Amazon MP3 Store and a $5 credit for select titles in the Amazon Instant Video Store.
Customers will also receive special offers and screensavers from brands like AT&T, Discover and Intel, such as a special offer of a $10 Amazon.com Gift Card when a customer uses their Discover card to purchase a digital product on Amazon.
Amazon founder Jeff Bezos explained that “we want to make money when people use our devices, not when they buy our devices”, which suggests the company will make no profit on the hardware itself.
Kindle Fire HD comes in two screen sizes, 7in (17.8cm) or 8.9in (22.6cm), although the larger of the two will not be available in the UK until 20th November.
An upgraded version of the existing device was also launched. It will cost £129. The Kindle Fire HD will come in 16 and 32GB sizes, costing £159 and £199 respectively, neatly undercutting the price of the Nexus 7.
The 8.9in HD device works off either Wi-Fi or fourth-generation wireless broadband, known as 4G.
The premium Kindle Fire HD has a 1920-by-1200 resolution screen, lagging behind Apple’s so-called ‘retina’ display. It is also slightly smaller than the iPad’s screen.
The devices can be ordered today on Amazon for shipping on 25 October.
Watch the TV commercial here: