This comes to us from Stu Han at Digitimes:
Amazon plans to launch two new tablet PCs, a 7-inch model and another 10-inch model, in the second half of 2012, a move which could cast a shadow on the future development of e-book readers, according to industry sources.
Amazon shipped 3.98 million Kindle Fire tablet PCs in the fourth quarter of 2011, taking up a 14% share of the global tablet PC market as well as the second position in the vendor rankings, according to market data.
Due to strong sales of Kindle Fire, Amazon has shifted its focus from e-book readers to tablet PCs, and so plans to launch a 10-inch model in the second half, instead of an 8.9-inch model projected previously, the sources revealed.
While still sourcing touch panels from Wintek and TPK Holdings, Amazon is expected to outsource production of the 10-inch model to Quanta Computer and Foxconn Electronics, the sources added.
Meanwhile, Amazon has apparently reduced its orders for e-paper products to E Ink Holdings (EIH), noted the sources.
EIH has announced revenues of NT$1.07 billion (US$36.22 million) for February, down 24% on month and 62% on year.