Not a Tablet 

Amazon CEO Jeff Bezos:

We are excited to announce four new products: the all-new Kindle for only $79, two new touch Kindles – Kindle Touch and Kindle Touch 3G – for $99 and $149, and a new class of Kindle – Kindle Fire – a beautiful full color Kindle for movies, TV shows, music, books, magazines, apps, games, web browsing and more, for only $199.

I think it’s clear that the Kindle Fire is not meant to be an iPad competitor. It’s a Kindle for media.

Amazon may not be competing with the iPad yet, but it is spending more and more time and energy fighting iTunes. Put another way, the Kindle Fire’s biggest problem isn’t the iPad — it is iTunes itself.

(Of course, as many have pointed out on Twitter, the big loser here is Barnes and Noble’s Nook reader.)