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May 7, 2012

The Kindle Story Falters, marketshare falls 4% from 16%

 IDC reports that Kindle Fire sales have slowed dramatically, down to just about 750,000 units in the first quarter of 2012. Market share for Amazon’s tablet has dropped precipitously; it is down from 16.8 percent to just over 4 percent.

The latest report from  research firm International Data Corporation (IDC) claimed that “a steep drop in shipments of Android-based tablets offset a strong quarter from Apple and caused the media tablet market to miss projections for the first quarter of 2012”.

The firm said total worldwide media tablet shipments for the quarter reached 17.4 million units in 1Q12, 1.2 million units below IDC’s projection for the quarter. This was a quarter-on-quarter decline of 38.4 per cent, which was even steeper than the projected 34 per cent.

The sharpest decline, however, was the Kindle Fire: it fell from 16.8 per cent to “just over 4 percent” global market share. This puts Amazon in third place, behind Samsung, while Apple continues to dominate tablet sales.

IDC reports that Apple sold 15.4 million iPads in the fourth quarter of 2011, for a market share of almost 55 percent. As the Kindle Fire faded in the face of the iPad3 earlier this year, Apple’s market share climbed back to 68 percent.
Kindle during its debut in the last quarter of 2011, had sold 4.8 million units and  had a marketshare of 16.8 percent of the tablet market last year. Amazon took some sales from the iPad and even more from other Android tablets—it accounted for more than 50 percent of Android-based tablet sales.

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