Amazon results disappoints markets

Heavy investment in the Kindle Fire has hit the bottom line hard with a 73% drop in profits posted for the last quarter, as they gear up to take a slice of the tablet market. Net profit for the period was US$63 million.

They also issued a warning for the last quarter of 2011, as the outlay for producing and promoting this Kindle model will spill over and effect their Christmas sales also.

Sales of the Kindle Fire are better than expected in the three months since launch date but overall figures are looking lower at the end of this year.

It's a jungle out there!