[mykalberta]

For me $199 seems like the right price to compete with the iPad at least from a first step.

Rumors are that next year they will be releasing something more tablet oriented but they can get this out before Christmas and guage market interest at that price point.

Also other than all the other companies who released tablets, Amazon has name recognition with non tech people more than HP or RIM. Combine that with the Kindle brand name being associated with Oprah I think Amazon has the best chance to compete with Apple.

Obviously comparatively the iPad beats the Fire, but does the $499 iPad beat the $199 Fire - $300 is an actual difference that makes people look twice.