Amazon has announced that a new Android console is expected to release this year with a price tag below $300.
After taking over the market with its Kindle eReaders, Amazon want to enter the console market with an Android device similar in shape and size to the PS Vita TV. Such device will receive its games and content by downloading it or via streaming in a similar way as the Ouya or Gamestick operate. However, this device is intended to stand side by side with the big boys (Nintendo, Sony and Microsoft) and not with the more indie oriented Ouya and Gamestick.
The unit being shown to publishers at this point is said to be roughly the same size as the PSone redesign, grey in colour, oblong in shape and with sharp edges. However, the pre-production unit is likely to have a full makeover before any official release.
The hardware is being created in conjunction with subsidiary Lab 126, designers of Amazon’s Kindle devices.
Amazon will target an affordable price point – we’re told below $300 in the US – in a pricing move similar to Amazon’s marketing of the Kindle Fire HD against high-end iPad hardware from Apple.
The company already has a significant digital entertainment business covering the sale, rental and delivery of music, film, TV and games, as well as hardware success with the Kindle and Kindle Fire HD. The new console is designed as a central point in the living room to group all of those services together and make use of the home TV screen.
As well as competition for the big three console makers, the system will take on microconsoles like the Ouya or Gamestick that have so far failed to capture an audience outside of hobbyist markets.
The difference for Amazon is that it already has an active customer base of 200 million people along with their payment details, 10 million of which are said to subscribe to the $79-a-month Prime Service. Some analysts expect Prime numbers to grow at 5 million per year.
It is worth to mention that Apple could be preparing a new Apple TV (via software update or hardware refresh) with capabilities to run apps and games so the console wars will have more competitors than ever. The device is expected to release at some point in 2014 (but was initially intended to release before 2013 ended).
