On Thursday, Amazon launched a new range of Alexa tablets, priced between $230 and $550, while discontinuing its Fire tablet series. This change signifies a departure from Amazon's previous strategy of selling devices at near-manufacturing costs to promote other services. The new tablets, which include 8-inch, 11-inch, and 12-inch models, are set to ship on October 14.
Amazon's devices chief, Panos Panay, emphasized that the new tablets feature significant upgrades, including improved speed, AI capabilities, and a sleek design, justifying their higher price points. Notably, these tablets will run on Google's Android operating system, moving away from the custom Fire OS, which limited app availability.
This shift is part of Amazon's broader strategy under CEO Andy Jassy to enhance profitability in its devices business, following similar price increases across the tech industry due to rising memory costs. While Amazon claims that the memory crunch did not influence their pricing strategy, the company has acknowledged the challenges of producing premium devices amid these conditions.
The new Alexa tablets are designed to integrate seamlessly with the Alexa assistant, featuring a dynamic home screen and new functionalities that enhance user interaction. Although the Fire lineup will still be supported for four years, no new units will be produced, marking a significant transition in Amazon's approach to its device offerings