Previous HN discussion:<p><a href="http://news.ycombinator.com/item?id=3058207" rel="nofollow">http://news.ycombinator.com/item?id=3058207</a><p>By the way, HN Search was an epic fail at finding this earlier thread, but it easily turned up in a site-restricted search on Google.
Well, this just exemplifies what everyone has been saying; that amazon's business model isn't the hardware, it's what's sold after that initial buying of the hardware.<p>So they lose $10 per tablet, but people buy a lot more then that in merchandise.