Amazon Unveils Kindle Fire

Amazon.com officially entered the tablet race Wednesday with the long-awaited launch of its answer to Apple's dominant iPad—the Kindle Fire. At a packed press event in New York, Amazon unveiled a tablet with the features reported in recent days including a 7-inch touchscreen with access to the retail giant's app store, streaming video, music, books and other content. It also packs a new browser optimized for the device called Amazon Silk.

The Kindle Fire is priced at $199 and will ship Nov. 15. In addition, Amazon rolled out a trio of new Kindle e-readers, including a pair of new touchscreen models. The top-of-the-line Kindle touch 3g will sell for $149, the Kindle touch, $99, and the Kindle, $79. The lowest priced Kindle previously was $114, and the Fire will cost about $300 less than the iPad.

"We're building premium products at non-premium prices," Amazon CEO Jeff Bezos repeated several times during the press conference. The aggressive pricing will certainly present challenges to both Apple and Barnes & Noble, which sells the rival Nook e-reader. More to come.

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