Amazon to Sell Kindle Fire Tablet in Best Buy, Staples

Amazon was a big competitive success on Wednesday, unveiling its new Kindle Fire tablet, slashing prices on Kindle e-readers, and effectively showing that it could tie in content deals for new tablet buyers.

Amazon said the Kindle Fire tablet will cost $199, well below the industry-leading Apple iPad, which starts at $499.

Now the world's largest online retailer says it'll use brick-and-mortar stores including Best Buy and Staples to help sell its new Kindle Fire tablet, expected to be released Nov. 15.

Best Buy, a leading consumer electronics chain and an Amazon.com retail sales rival, says it'll carry the new Kindle Fire tablet in all its stores, in time for the holiday season. Staples, the office products chain, will also have the Kindle Fire tablet in its stores by the end of the year.

We think these Kindles are going to be some of the hottest gifts this year, said Brian Dunn, chief executive of Best Buy, in a statement.

Amazon also unveiled a new Kindle Touch, a touchscreen device, and a new version of its popular Kindle e-reader.

The Kindle Fire, which will come with a 30-day free trial of Amazon Prime -- the company's $79 annual membership for two-day shipping and extra content like streaming movies -- will have a seven-inch touchscreen display and Wi-Fi.

What we are doing is offering premium products at nonpremium prices, Amazon CEO Jeff Bezos told Bloomberg Businessweek, adding, We don't think of the Kindle Fire as a tablet. We think of it as a service.

Amazon said it plans to sell its original Kindle black and white e-Readers for about $80, while rolling out more new e-reader products.

Current Amazon Kindles with built-in Wi-Fi sell for about $139.