According to latest reports, Amazon has outlined policies to launch an 8.9-inch Kindle Fire model, most probably by the end of the second quarter of 2012. In addition, sources have confirmed that the company is looking forward to introduce the 8.9-inch form factor as an attempt to prevent the product from the direct competition with 9.7-inch as well as 10.1-inch tablet manufacturers. Taiwan's Promotion of the 8.9-inch display panels by LG Display and Samsung Electronics can also considered as a major factor.

While commenting on the data gathered from the market, the Global Equities Research analyst, Trip Chowdry said: “Every indication we have as of right now, tells us that it is very likely that Amazon Fire may end up having the similar fate that RIMM; s PlayBook had”. In addition, Chowdry acknowledged that the Fire lacks several critical sensors such as a microphone, GPS, gyroscope, magnetometer as well as a 3G radio.

In addition, Gene Munster, an analyst for Count Piper Jaffray, as well as a number of other critics, anticipated that the price of custom Android tablet will create some issues for cost-conscious consumers. In addition, he referred to a general perception that the iPad offers a superior and refined user experience to the Kindle Fire.

A close integration with Amazon books and music and video content can be considered as a few of the impressive features of the device. Besides this, the fire is also likely to provide a rapid on-ramp to the Amazon Prime membership including free shipping as well as Instant Video flicks for $79 a year, absolutely free. Experts have expressed confidence that these factors will be playing a crucial role to help the Amazon for seizing 18% of the tablet market, during the current year.