Kindle-iPad: The Tablet Market's One-Two Punch

By lowering the price and coming out with an improved device, Kindle has established itself as the "iPod of eReaders." Today Amazon said that its new Kindle was selling like mad:

More new generation Kindles were ordered in the first four weeks of availability than in the same timeframe following any other Kindle launch, making the new Kindles the fastest-selling ever. In addition, in the four weeks since the introduction of the new Kindle and Kindle 3G, customers ordered more Kindles on Amazon.com and Amazon.co.uk combined than any other product, continuing Kindle’s over two-year run as the bestselling product across all the products sold on Amazon.com.

The iPad rather than killing Kindle may have helped it buy forcing it to improve and lower its price, and by expanding awareness and the market in general.

Carefully positioned as a "single-purpose" device vs the iPad's multi-function capability, Kindle has carved out a solid position in the market. It threatens to extinguish all eReader competition and has (perhaps in tandem with the iPad) already caused some competitors to cancel products

For its part the iPad is showing surprising traction in the enterprise market:

When Apple Inc.'s first iPhone came out in 2007, many companies told their employees that the device wasn't appropriate for the workplace. The iPad is a different story.

The company's tablet-style device seems to be sidestepping the resistance that the iPhone and other consumer-oriented devices have faced in the corporate environment. Indeed, many businesses have raced to snap up iPads.

In addition a recent global survey of 1,100 “mobile workers” by iPass found that just over one quarter of them intended to buy an iPad: 

http://www.cultofmac.com/wordpress/wp-content/uploads/2010/08/ipad_survey.jpg

While the Kindle is proving successful vs. competitors, the iPad has really yet to face them. Several Android tablets will be out by the end of the year and they promise to be subsidized or otherwise cheaper than the iPad.