Dive Brief:

• Amazon’s new low-priced tablet would be available before Christmas, reports the Wall Street Journal.
• Amazon also plans to introduce 8-inch and 10-inch screen tablets.
• It’s unclear whether or not the new tablets will show advertisements, a feature consumers often complain about.

Dive Insight:

Amazon may be jumping on the new low-priced tablets to profit on Christmas consumer sales and possibly to gain market share in the enterprise. PC sales have slowed dramatically, potentially leaving room for new low-priced devices to gain a foothold.

But experts say a device priced so low likely wouldn’t have the power to function well in a corporate environment.

“Will people tolerate a potentially inferior experience just because a tablet is $50?” said Frank Gillett, a Forrester Research analyst. “Amazon has to be very careful about what they’re giving up to get to that low price point.”