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Slideshow: Kindle Fire HD 2013 Teardown

iFixit.com
10/10/2013  
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Rob Spiegel
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the cost of the components
Rob Spiegel   10/10/2013 11:03:26 AM
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Nice teardown. I'm curious as to the cost of the components. I had heard that the cost of components in the Kindle equaled the price of the Kindle and that Amazon was selling the product at a loss in order to generate greater online sales.

Charles Murray
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Re: the cost of the components
Charles Murray   10/10/2013 1:53:29 PM
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That makes sense, Rob. The mobile phone industry has lived by that business model for a long time. So has the printer business.

Rob Spiegel
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Re: the cost of the components
Rob Spiegel   10/10/2013 4:44:15 PM
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I agree, Chuck. Amazon seems particularly adept at it. It could be why the Kindle is performing so much better than the Nook in the market. Amazon has a lot more to offer online buyers, and thus the Kindle is a greater cash channel.

NadineJ
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Re: the cost of the components
NadineJ   10/11/2013 11:40:54 AM
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I've heard that often but we have no way of knowing what prices were negotiated.  There are multiple factors.  Amazon recently expanded their market for the Kindle.  More buyers, more production leads to a lower price.  How and where parts are manufactured and assembled make a big difference too.  Multiple locations are often used to keep the price down.

And, as many have mentioned, marketing strategy can reduce the profit in exchange for higher sales at a lower price.  Many companies made their fortune selling to WalMart using that strategy. Many companies went bankrupt miscalculating that strategy too.

I must confess, I secretly came to the site this morning hoping for a tear down of the Samsung Galaxy Round but this is cool too.

torchh64
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Iron
Kindle Fire HD 2013 Touchscreen
torchh64   10/11/2013 11:50:21 AM
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No idea of whose touchscreen is used?

Charles Murray
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Re: the cost of the components
Charles Murray   10/11/2013 6:05:44 PM
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You're right, Rob. Amazon does have a lot to offer. Now it looks like I'm going to have to trade in that Kindle I got for Christmas.

Rob Spiegel
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Re: the cost of the components
Rob Spiegel   10/14/2013 8:16:20 AM
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Good points Nadine. When engineers noted the cost of components, they noted that component costs alone equaled the price of the Kindle. That's before you add the cost of manufacturing, packaging and logistics. So the assumption is that volume discounts were not going to overcome the added costs.

Rob Spiegel
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Re: the cost of the components
Rob Spiegel   10/14/2013 1:55:11 PM
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Why are you trading it in, Chuck? Going from the regular Kindle to the Fire?

Charles Murray
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Re: the cost of the components
Charles Murray   10/14/2013 6:19:30 PM
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Well, yes Rob, in a world where upgrades are free, I'd definitely upgrade to the Fire. Of course, no such world exists.

bobjengr
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Platinum
KIINDLE FIRE SLIDESHOW
bobjengr   12/21/2013 2:07:51 PM
I have a Kindle and a Kindle Fire HD and both have performed extremely well over the months since purchase.  Two days after I purchased the first Kindle, I dropped it down the stairs leading from my garage to our first floor.  After a brief panic, I realized the device was unfazed.  No damage at all and it has performed properly ever since.  The Kindle Fire is definitely an upgrade and I can recommend the "Fire" to anyone wishing to invest in a tablet.  It was a very good purchase for me although they are not cheap.  Excellent slideshow.

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