Amazon Hits $1 Billion In M-Commerce In Last Year

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Highlighting m-commerce growth, Amazon announced that it has sold more than $1 billion worth of products sold through mobile phones and devices such as the Kindle e-reader in the last 12 months.

"The leading mobile commerce device today is the smartphone, but we're excited by the potential of the new category of wireless tablet computers," said Amazon CEO Jeff Bezos in a statement accompanying the company's release of second-quarter results. "Over time, tablet computers could become a meaningful additional driver for our business."

For the quarter ending June 30, Amazon reported profit of $207 million, up from $142 million a year ago. Net sales increased 41% to $6.57 billion.

Amazon earlier this week revealed that it is now selling more e-books than hardcover books. Over the last three months, the company has sold 143 e-books for every 100 hardbacks. And that rate jumped to 180 e-books or every 100 hardcovers in the last month.

Amazon also said Kindle unit sales had tripled in the month since it cut the price on the e-reader from $259 to $189. Overall, it has sold three times the number of Kindle titles in the first half of 2010 than in the first six months of 2009. Apple's release of the iPad in April generated much speculation over whether the tablet device will end the Kindle's dominance in the nascent e-reader market.

But since Amazon offers Kindle apps for the iPhone and iPad, it can still remain a major player in the e-books business regardless. That might explain Bezos' reference to tablet computers becoming a key part of driving its mobile business. A subtle nod to the iPad? Others see a continued future for the Kindle itself because of relative strengths against the iPad such as the ability to read in sunlight, longer battery life and being lighter.

Amazon rival eBay said earlier this year it's aiming for $1.5 billion in mobile sales after racking up $600 million in 2009. In March it launched three new apps, including eBay Selling and eBay Classified. The online auction giant also launched a version of its primary eBay Mobile app for the iPad.

1 comment about "Amazon Hits $1 Billion In M-Commerce In Last Year".
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  1. James Bishop from B-to-B Digital Media LLC, July 23, 2010 at 10:12 p.m.

    This is a fantastic article! This indicate the coming of age for mobile technology. All indicators point towards significant growth in this area of digital consumerism and Amazon's success is a testament to what is to come...

    Thank you

    My two cents...

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