Amazon.com, Amazon Kindle Fire | featured news

Amazon is likely to change its product roadmap by shifting the display size of its next-generation Kindle Fire to 8.9-inch instead of 10.1-inch as originally planned, according to sources in Amazon's supply chain.

Ever since Amazon unveiled its 7-inch Kindle Fire tablet in September, a lingering phrase has been attached to the low-cost, high-profile device: "the iPad's first true Android competitor."

The Kindle Fire tablet may be the hottest selling gadget this holiday, pressuring Amazon.com Inc's profit margins but giving the world's largest Internet retailer potentially millions of new high-spending customers.

Apple could scarcely be more dominant in the nascent tablet computing market, but Amazon could change that in a hurry, a new study suggests.

"Leaked" screen shots, allegedly from Amazon's internal stock monitoring system, suggest the new Kindle Fire tablet is already a hot item, racking up 250,000 reservations in five days.

Amazon's Kindle Fire is a Catch-22 for retailers: The $199 tablet computer could both help Christmas traffic and hurt future sales.

After months of speculation, it's here: Amazon's tablet, the $199 Kindle Fire, was unveiled Wednesday. Smaller and cheaper than Apple's dominant iPad, the Kindle Fire has a 7-inch display and runs on a heavily customized version of Google's (GOOG, Fortune 500) Android operating system. The tablet offers Wi-Fi connectivity, but no 3G or other cellular connection. It also lacks a camera and microphone, two features found in most rival tablets.