Amazon recently announced an expanded offering of tablets, in addition to its well-developed e-reader business. On a recent RetailWire post, I question the timing of Amazon’s continued push into maturing hardware categories outside of its “sweet spot”:
The line between tablets and smartphones is getting blurrier every day, hence the term “phrablet.” The size difference between the largest smartphones (like the Samsung Galaxy and the new iPhone 6+) and the smallest tablets (like the iPad mini) is causing the tablet market to mature, especially if a consumer doesn’t want to pay extra for connectivity other than wifi.
I don’t know how much market share is held by Amazon but it’s diving deeper into a low-growth category. (And the Fire Phone experience ought to be humbling, assuming Amazon is capable of humility.) I understand that Amazon needed to expand beyond the e-reader category as its footprint grew way beyond books, but I’m not sure a “me too” product will meet its goals.