Update: Amazon has flat-out denied this rumor. Normally companies choose the classic, “We do not comment on rumor or speculation” when something is going on behind the scenes. Link
According to a recent rumor, Amazon wants to release a $99 Kindle Fire. This is in order to compete with the iPad mini. It’s not totally hard to believe as Amazon is good at cutting costs of its devices down to very low prices. Amazon already sells a Kindle Fire for about $160, so it doesn’t sound impossible to lower it.
According to TechCrunch, it’s a Kindle Fire HD, and will carry a TI processor. If rumors are correct, it will have a 1280×800 resolution like the current Kindle Fire HD. That sounds like quite a bit, but I don’t see why Amazon couldn’t aim for making a regular Kindle Fire with a cheaper price-point.
If the report is accurate, this could help Amazon’s Kindle Fire line further its position in the tablet market, which is currently dominated by Apple. The Fire, however, is definitely no pushover.