Amazon makes 15% profit on Kindle Fire HD, while Surface takes a tidy 46%
5th Nov 2012 | 12:07
iPad mini not such a rip off
It's been well documented that Amazon has sold its Kindle ereaders and original Kindle Fire devices at cost price, hoping to make its money back from users purchasing books and apps on their newly acquired tablet.
All change please
However, according to the latest teardowns, the online retailer is now making a 15% profit on each Kindle Fire HD sold, which equates to about $30 (around £18/ AU$28) per tablet.
While that's not a huge margin, it's at least positive news for Amazon who will be hoping its new tablet can win over consumers looking at the Google Nexus 7 or iPad mini.
Meanwhile Microsoft will be rubbing its hands together with glee every time one of its Surface tablets is picked off a shelf, as the Redmond-based firm pockets a tidy $228 (around £142/ AU$220) for each slate sold.
The Microsoft Surface price raised some eyebrows when it was first announced, with many considering it to be too high. If the estimates from the teardowns are correct, it looks like the software giant really is in it for the money.