aleghart
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Amazon Kindle hardware + service costs - who subsidizes them?
Difference in cost between WiFi-only and 3G Kindle = $50.
Lifetime cellular service = "free"
Hardware cost of cell modem = ?
Additional tech support cost of 3G = ?
So, there is <$50 to pay for an individual's lifetime of "free 3G wireless" service. What is that wholesale cost? Is it fully covered by <$50?
Or, is it pooled, where some are being over-charged, some (heavy users) are under-charged?
Or, is some of the cost borne by Kindle book purchases?
Amazon doesn't make it clear, and I don't like the idea of buying a book that's subsidizing somebody's reader. If they buy a reader with cell service, they should pay for it. Not me, who is using my own computer or smartphone...and paying for my own WiFi and cellular access.
Anyone with knowledge of the cost breakdowns?
I did read that Amazon started charging $0.10/upload, then changed it to $0.15/MB uploaded for documents that aren't Kindle purchases. Things like personal spreadsheets, PDF files, etc.
So, this isn't a benevolent "free" service like they market it. It's there as a medium for buying Kindle books.
Who is paying, and how much?
Lifetime cellular service = "free"
Hardware cost of cell modem = ?
Additional tech support cost of 3G = ?
So, there is <$50 to pay for an individual's lifetime of "free 3G wireless" service. What is that wholesale cost? Is it fully covered by <$50?
Or, is it pooled, where some are being over-charged, some (heavy users) are under-charged?
Or, is some of the cost borne by Kindle book purchases?
Amazon doesn't make it clear, and I don't like the idea of buying a book that's subsidizing somebody's reader. If they buy a reader with cell service, they should pay for it. Not me, who is using my own computer or smartphone...and paying for my own WiFi and cellular access.
Anyone with knowledge of the cost breakdowns?
I did read that Amazon started charging $0.10/upload, then changed it to $0.15/MB uploaded for documents that aren't Kindle purchases. Things like personal spreadsheets, PDF files, etc.
So, this isn't a benevolent "free" service like they market it. It's there as a medium for buying Kindle books.
Who is paying, and how much?
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