Amazon has already established its place on the tablet market with its Kindle Fire, but now the Web giant is rumored to rollout their second-generation tablet, the Kindle Fire 2, in an effort to control its market share.
The Kindle Fire now faces strong competition, and keeping its market share against powerful rivals such as Google may be a serious challenge. Google's new Nexus 7 tablet features a 1280 x 800 resolution and a quad-core processor, and its $152 price tag makes it the best budget tablet currently available in the growing tablet market.
Moreover, Google's Nexus 7 is 18 percent lighter than the Kindle Fire, and it also includes GPS, Bluetooth, and camera, which Amazon's offering lacks. Other notable features of Nexus 7 include the quad-core Nvidia Tegra 3 CPU, Android 4.1 Jelly Bean (the latest version of Android), 1280 x 800 HD display, and a full eight hours of claimed battery life.
According to rumors, the second-generation Kindle Fire may sport a 7-inch display and an even lower price tag than Google's Nexus tablet. One report also indicated that the Kindle Fire 2 may boast an HD display with improved RAM and better processor, perhaps quad-core. It may also be lighter and thinner than its predecessor, and feature a 1280 x 800 HD display, just like the Nexus 7. Moreover, the Kindle Fire 2 will reportedly offer a richer Android experience, as well as Amazon customizations based on its digital stores.
Amazon's Kindle Fire has been one of the best devices in the $200 tablet market, but sales have slumped recently partly due to the lack of camera and memory card slot. In an effort to better compete with rivals, Amazon reportedly plans to upgrade both hardware and software in the new iteration, and include a front-facing or rear-facing camera as well.
Meanwhile, Apple may heat up competition even further. The Cupertino, California-based tech giant is expected to launch a smaller version of its market-leading iPad - the iPad Mini, meeting the needs of users who prefer smaller, lighter and more portable tablets. If Apple decides to enter the smaller tablet market, Amazon would need to differentiate its Kindle Fire from the iPad Mini's offering. Meanwhile, Google and Amazon are already racing for the top spot, which means Apple will join an already crowded, highly competitive party.