If you ran Apple, what would be more important *for a product moving forward (an established product)*, Market or Margins? Sure having great margins is important to a companies bottom line, give the ability to readily fund R&D, ads, support (hardware and various services), and software updates free of charge. Then look at Market position side. Google is promoting a little-to-no profit tablets (Nexus series), the Nexus 7 is a huge seller despite generally inferior hardware (except higher resolution screen). Google is clearly not interested in profits, since the Nexus 7 has little and besides that their primary income is from web services, including from iOS apps. Clearly, Google is producing Nexus series simply to claw a foothold in the iPad dominated tablet market, profits be damm. Amazon is doing a very similar tactics, market over profits (even competing with Google), however Amazon also sees it as a Sales Point for their company, in a way a physical presences for this online store (your house becomes the brick and mortar) and expects to make additional profits simply by you using the Fire (even pre-loading your account info to make it easier to spend on Amazon). Amazon is simply using the over century old tactic, sell the device cheap, make profits on the media/refills. EDIT: I forgot to add, Apple maintain some margin on iPad sales, but smaller then currently. I think they earn some 40% margin now, so consider a 4~9% margin The poll is simple, Market or Margins or don't know. ADDITION: This is in relation to the future price of iPads. The maturation of the tablets and average price drop of tablets is making the current price of iPad's not appealing to potential customers.