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Ad-based Kindle Fire 2 in the works, to be cheaper than any other 7-inch tablet

September 2, 2012

A few days ago we learned that Amazon is going to unveil two 7-inch Kindle Fire 2 models during its September 6 media event, with one of them being similar to the first-gen tablet released last year, and the other set to offer better features and thus compete against the Google Nexus 7 and the iPad Mini.

The same report revealed that Amazon’s first 10-inch tablet, the kind of device that would take on the iPad, will not be announced at this time, with Amazon being more interested in solidifying its presence in the 7-inch market before making the jump to a bigger tablet.

The Wall Street Journal seems ready to corroborate these recent Kindle Fire 2-related details with a new report of its own, which also reveals that Amazon may offer buyers an ad-based Kindle Fire 2 that will hit stores this holiday shopping season.

This would explain why Kindle would want to announce two Kindle Fire 2 models, a low- and a high-end, with the latter being the actual flagship product of the company, while the former would act as an even cheaper 7-inch tablet, ready to undercut the Nexus 7 and iPad Mini even more.

The ad-based Kindle product wouldn’t be a first for the company, as Amazon has offered similar deals to Kindle e-reader buyers – in fact, some of the e-readers unveiled last year were cheaper in certain markets provided customers agreed to seeing ads from time to time on the device.

The price of an ad-based device is lower by $30 to $50 for a Kindle e-reader, which is what we expect for this rumored ad-based Kindle Fire 2:

Amazon’s new ad-supported tablet would come at a discount to tablets without the advertising subsidy, said the people involved in the product discussions. Exact pricing and which advertisers are involved is unclear.
The new tablet would display an ad after the user “wakes” the gadget, said one person briefed on the matter.
Amazon has discussed how some versions of the new tablet would connect to the Internet only through Wi-Fi networks, said the person briefed on the product.

We’ll be offering you more details about the upcoming Kindle Fire 2 models in the very near future, as the fight in the ultra-affordable tablet niche intensifies this year.