Amazing, unprecedented, awesome, unexpected, astonishing and unbelievable. Those are just a few words you might have read today about an Amazon product on nearly every website which advertises itself as the sole authority on ‘tech news’. I read a few reports on such websites, and was kinda disappointed by the fact that majority of them just reprinted the content of the official announcement about that product of Amazon. Only a handful of them drew any kind of conclusion or talked about any implications of this desperate move by one of the emerging players in ‘the game of phones’. Hmm, we’ll come back to ‘that’ kinda journalism later, but let’s now talk about that product and related announcement.
The product being referred to here is Amazon’s Fire Phone, which the retail giant is now selling at 99 cents with a two-year contact on AT&T’s network.
Why did they do that? Hmm, Apple is bringing out a new shiny gadget in a few hours from now, and it very well could be the iPhone 6. Could this move by Amazon to make their Fire phone look more appealing to the general populace be related to that? Interesting.
The announcement, which could be found here, clearly appears to be a desperate attempt by Amazon to clear their standing stock.
They have a standing stock?
Of course they do. They were talking about selling more than a million units by the end of this year when they launched their phone, and as far as I’m aware and according to a few media outlets, the phone hasn’t even made it up to a 50,000 mark yet.
“Fire is now 99 cents with a two-year contract, plus customers get one full year of Prime included,” said Ian Freed, Vice President, Amazon Devices. “With access to all of the Prime content, Mayday, 32GB of memory and free unlimited cloud storage for photos, plus the exclusive Dynamic Perspective and Firefly features, Fire is another example of the value Amazon delivers to customers.”
You might disagree with me, but this is a stupid move. I mean, you know that people are not going to buy your product with the new iPhone just around the corner, and dropping the price of your product won’t change that fact.
Even if some enthusiasts do fall victim to your advertising and buy your product at this time, they are still going to talk about the iPhone for at least the next couple of weeks. So, why unnecessarily humiliate your product by pimping it out like that?
The statement of Mr. Freed sounds a little ‘dry’, doesn’t it?