Conan O'Brien did a bit on the Kindle Fire HD earlier this week, taking a jab at how Amazon is willing to lose out on device profits in order to undercut the iPad. To that end, he mocked up an ad for the Amazon Wendell, who's some dude who will read you e-books and tell you how well you're doing in Angry Birds for a fiver. 

We were generally pretty impressed with the devices in our hands-on experiences with the new Amazon devices, pricetags notwithstanding. Conan raises a point though: how low is too low, and what are you willing to sacrifice for affordability? This isn't the first time Conan has made fun of the Kindle Fire, though; do you think he's got a particular bias against Amazon?

If you're thinking of picking one up, a few of the new Kindle Fires went on sale today

Via: Phandroid


Reader comments

Conan O'Brien introduces the $5 Amazon Wendell


More of a bias for Apple than against Amazon I suspect. Lots of bits poking fun at Samsung also. I have yet to see a sketch at Apple's expense which is why I think Apple might be a big sponsor of the show or the writers just don't think anything Apple does is funny. If thats the case, they should check out the #isheep stream on G+. Some funny stuff on there.

I'm sorry if you think my comment was fanboyish but I did not intend for it to be interpreted that way. I was giving an honest answer to Simon's question without doing any research. It seems a quick google search reminded me of a sketch that puts a huge dent in my theory.

His comment was hardly fanboyish. It wasn't over the top, it was pretty well reasoned. The original post asked about potential bias. Conan HAS mocked the Kindles in the past and was mockingly critical of Samsung on Apple v. Samsung. I'm not a fan of the show, but a quick google search doesn't turn up any Apple mocking that I can see.
Objectively speaking, that looks like a bias.

You must not use G+ much. #isheep is a hashtag that was trending on G+ at the time of this article. I haven't posted anything using the hashtag myself. I was just refering to it.

Andy Richter is always seen using his ipad 2 on the show after breaks or at beginning of show at the intro, and over by the couch I have seen quite a few times. Also conan making fun of andy for using his ipad 2 all the time.

Conan has done videos making fun of Apple too. Go to his website and you can watch them. There's no bias.

link please

edit: I did find one about Final Cut Pro X so maybe they just don't find anything funny about the new iphone.

How low is too low?

Look, this isn't a new practice, any time you have a product that uses consumables that can be limited to a single source (or almost limited) you can afford to sell the product for dirt cheap and make the money on the consumables.

Kodak did it with cheap cameras and made money on film, paper, and processing.
HP does it today on Laserjets ($129 bucks!!) and makes money on toners and fusers.
Carriers do this all the time with on-contract phones.
Nexus 7 ($160 build cost, $199 price = a measly $39 profit which will never pay off development costs.

This isn't even an example of a "loss leader" because all of those companies have a very strong lock in to continued sales.

Microsoft and Sony have been using this model for quite a long time with game consoles. They typically don't make a profit on hardware for years after release.