Magazines may be coming to Amazon’s Android-powered Kindle Fire tablet. Magazines like GQ, Glamour, Elle, Esquire, Elle, Martha Stewart Living, Esquire, Elle and Cosmopolitan magazine are in negotiations with the online retailer.
Negotiations with Amazon have gone smoother than previous discussions with competitor, Apple. Reasons being that Amazon is willing to share customers’ names and addresses.
“I think that Amazon had the benefit of listening to the broader market discussion during the last 18 months and came to publishers with a compelling story,” said the general manager of Hearst magazines.
About 70 per cent of magazine revenues from the Kindle Fire will go straight to the publishers. Amazon will be in charge of magazine subscription pricing, which has made some publishers a little apprehensive. The United States largest magazine publisher has not made a deal to make People or Sports Illustrated available via the Kindle Fire. Industry sources cite subscription pricing as a factor. Despite that, industry sources believe that the two companies will reach an agreement by the end of this year.
The Kindle Fire tablet will cost about $199, rather than $499 for the least expensive iPad. The sheer price difference makes the Kindle Fire more appealing to the major publishing houses. In addition to the Hearst publications, Conde Nast will be adding 17 digital magazines.
The Kindle Fire is 7 inches, and will have a Kindle Fire Newsstand, where consumers can go to get cheap magazines subscriptions and as well as the Kindle e-book directory. The Kindle Fire also offers the Amazon Instant Video, Amazon MP3, and Amazon Appstore for Android. The Kindle Fire is not iPad’s perfect competitor, but it’s the closest thing on the market.
Later this year, when the Kindle Fire is released, Amazon will release with it, its Silk browser that promises a better and faster web experience by compressing and caching all data and images on the device.
This is a different approach from Apple, which relies on iTunes and information from their App Store to increase sales of the iPad and the iPhone. Amazon hopes to set the trail a blaze with the Kindle Fire, by getting consumers engaged in its digital media campaigns.
“For 15 years we’ve been building our media business and it’s become a $15 billion a year business,” said Jeff Bezos, the Amazon founder and CEO, during this week’s Kindle Fire launch party.
Amazon has been growing steadily ever since their birth. They’ve gone from humble beginnings to now offering 100 million television shows and movies for purchasing and rent. The Amazon store also house over 17 million mp3s at low prices.
NOW WATCH: Executive Life videos
Business Insider Emails & Alerts
Site highlights each day to your inbox.