Amazon's Fire Phone is a $170 Million Dollar Flop

[dgstorm]

Amazon's Q3 financials came out last Friday and they were not exactly glowing. In fact, even though net sales increased 20% to $20.58 billion, the company had an over-all loss of $544 million for the quarter. A sizable chunk of that loss was due to a $170 Million dollar write-off that was strictly from their new Fire Phone.

The reason why the Fire Phone turned out to be a colossal flop is not really that surprising. The problem was that the phone only allowed users to get apps from Amazon's App Store as it wasn't a very Android-friendly version of Android. This works fine on Amazon's Fire series tablets because the restriction is minimal and Amazon's eReader ecosystem is far more developed with already entrenched customers. Apparently this didn't translate that well for the phone.

In all honesty, we aren't all that surprised here at DF HQ... are you?

 

[Sydman]

Not surprised, especially with that news about At&t stifling them right off the bat.

Remember this guy?

Microsoft Kin - Wikipedia the free encyclopedia

 

[cereal killer]

No surprise at all. Nice phone and all but like the FB phone people just don't have a need for these types of phones.

What next a Tumblr phone?

 

[xeene]

I don't think tumblr is that stupid lol.

 

[Ollie]

Tis but a mere scratch!

 

[mountainbikermark]

Now maybe they'll write off the miles of "Fire Phone" packing tape everything I get from Amazon comes with and go back to the old stuff.

Sent from my LG-D801 using Tapatalk

 

[leeshor]

Not "breaking news" to me.

Once I heard/saw the full specs and the fact that it had that Amazon only app limitation it was predictable. It was purely a marking tool for Amazon.

 

[Rowlette]

I would buy them @$49.99 would you

 

[leeshor]

I would buy them @$49.99 would you

Nope. Not even for free.

 

[pc747]

As we all predicted. They have so much inventory they are going to give them away with amazon prime renewals.. Speaking of renewals think it is close to time for me to renew.

 

[Rocer]

It got a lot bad reviews on Amazon.

 

[trestevenson]

It got a lot bad reviews on Amazon.

I couldn't help but laugh at the irony!

 

[Jonny Kansas]

Yup...

 

[Jonny Kansas]

Not surprised, especially with that news about At&t stifling them right off the bat.

Remember this guy?

Microsoft Kin - Wikipedia the free encyclopedia

Not gonna lie. I actually almost thought about getting that little guy for like a split second.

 

[Bruce walton]

That's why common sense is not common. Come on how can you expecting million dollar revenue.without letting customers to access App store. Amazon store is no parallel to Apps store. I wonder who were the board of directors who made that decision.