Out with the old and in with the new?
Amazon's become a bit predictable as of late, at least regarding its Kindle line. It goes something like this: Launch a tablet, ride it out with occasional discounts, slash the price one last time, rinse and repeat. If you head over to Amazon right now, you'll notice that the Kindle Fire HD now starts at $159 , down $40 from its list price of $199. The most likely explanation is that Amazon is clearing out inventory to make room for a refreshed Kindle Fire HD line.
The price cut could also be in response to Google's second generation Nexus 7 tablet starting at $229 for a model with 16GB of built-in storage and Wi-Fi connectivity. What used to be a $30 premium over the Kindle Fire HD is now a $70 premium. Supporting this theory is the fact that Amazon is listing the reduced price as being available "For a Limited Time," though no other details are given.
In any event, if you're shopping a Fire or Fire HD, the latter is a no-brainer at the sale price. Both go for $159 currently, though the Fire HD currently offers a better value proposition with a 1280x800 resolution (versus 1024x600), Dolby Audio and dual-driver stereo speakers, dual-band Wi-Fi, and longer battery life (11 hours of continuous use versus 8.5 hours).