Is Amazon Going To Sell Kindles For $150?

by Greg on March 5, 2010

Is it possible to see the prices of the Kindle drop down to $150 this year? Freescale Semiconductor, the company that produces the chips that power 90% of ereaders, seems to think so. The Kindle and the Sony Reader both use Freescale’s chips. The Apple iPad uses a chip made by Apple.

Glen Burchers, a marketing director for Freescale had this to say:

“There’s a big unsaturated market out there, and price is a big factor,” Burchers said. “We do see the price of e- readers coming down this year, and Freescale is trying to facilitate that. That’s a lot of what this chip is doing.”

Burchers said that it usually takes about 6 months from sampling a chip until we actually see it in a product (maybe another hint about when the next Kindle might come out?). The Kindles that we have now have separate chips that control the page turning. The extra chips add to the cost of the reader and slow down it’s processing time.

The new chip will make the lag time turning a page go down from about two seconds to less than half a second.

I’m sure that the $150 Kindle is referring to a current version of the Kindle – the Kindle 2. Hopefully this means that if a new color touchscreen Kindle does come out this year, the price won’t be much more (if at all) than the $259 current price of a new Kindle. We shall see.

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