Smaller and cheaper than Apple's dominant iPad, the Kindle Fire has a 7-inch display and runs on a heavily customized version of Google's (GOOG, Fortune 500) Android operating system. The tablet offers Wi-Fi connectivity, but no 3G or other cellular connection. It also lacks a camera and microphone, two features found in most rival tablets.
Priced at less than half the $499 starting price of an iPad, the Kindle Fire aims to undercut Apple's wildly popular tablet, which has sold 28 million units since its 2010 debut. The iPad's momentum is picking up: Apple (AAPL, Fortune 500) sold a record 9.3 million iPads in its latest quarter.
Amazon will begin taking Kindle Fire orders on Wednesday, and will start shipping the device on November 15. At $199, the device will be slightly cheaper than Barnes & Noble's similar Nook Color, a $249 tablet that made its debut 11 months ago.
"We're making millions of these," Amazon CEO Jeff Bezos told the audience at a New York City press conference.
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