Horace Dediu with an excellent analysis of the competitive threat Amazon poses to Apple:
>The assumption (implicit) in Kindle is that the product is “good enough” as it is and should be used for many years to come. That’s not a way to ensure improvements necessary to disrupt the computing world.

I hadn’t thought about this, but Amazon makes *more* money if they don’t sell you next year’s model Kindle. That is, they introduce new Kindles just to try and gain *new* buyers. Apple introduces new models to get upgrades **and** new buyers because Apple makes more money on the hardware sales themselves.

Also see Dediu’s note about the Apple TV.

Posted by Ben Brooks