in Mobile Gaming

Analyst upgrade for Amazon Kindle Fire Q4 sales

Seen on “All Things D” (www.allthingsd.com) today:

“Has anyone seen one of Amazon’s new Kindle Fires in the wild? I haven’t. But evidently they’re everywhere. You just need to know where to look to find them — like Stifel Nicolas analyst Jordan Rohan. According to Rohan, the Fire is selling very, very well. So well, in fact, that on Sunday evening he raised his estimate for fourth-quarter Fire sales to 6 million units from 5 million, proclaiming the device a true tablet market contender. “Kindle Fire has staked out an important market position due to its loyal Amazon customer base and attractive (low) device pricing,” Rohan said in a note to clients. “We believe the lower hardware price will correlate with high e-book and video content attach rates.” In other words, there’s some serious potential upside to be had in incremental e-commerce spending via the Fire, and Amazon’s aim is to milk it for all it’s worth. “We believe that software attach rates correlate inversely with the hardware price. From Amazon’s perspective, this could drive real upside in its North American media segment revenues,” Rohan concludes. “From a cost perspective, the shift to digital delivery of content could help Amazon avoid costly free shipping subsidies. Hence, we believe there is a great deal more to the Kindle device strategy than most have discounted.””

At his recent investor meeting in Stockholm, G5 Entertainment’s CEO Vlad Suglobov addressed the company’s big success on Kindle Fire. The cooperation between Amazon and G5 has been extensive for quite some time. Still rather limited competition in the Amazon app store made it possible for G5 games to be very successful with consistent rankings among Top Paid 100 list for the Kindle Fire. Naturally, competition will increase but the future for Kindle looks promising and G5 is now making good money on Amazon’s app store.  For a daily update on G5 games’ rankings on Kindle Fire please visit: http://www.g5info.se/spelstatistik_kindle.htm

Nordic Investor

 

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