RetrailWire panelists recently discussed some of the news surrounding the new Kindle Fire. It’s selling very well (and the entry price point of $199 doesn’t hurt) but has had more reliability issues than Kindle users are accustomed to. I think it has implications for the Amazon brand:
Short-term this sort of bad publicity will hurt sales of the Kindle Fire. (Somebody on my gift list will not be getting one, sorry!) This is particularly disappointing for Kindle owners who have generally been very happy with how their e-readers work.
Long-term, this is a more serious problem for Amazon: Anything that suggests it has compromised its quality reputation to get a product on the market too quickly and cheaply can only damage the brand. If the “cloud” bug fixes don’t solve the performance problems, Amazon would be smart to put together a recall program in a hurry.