From DailyTech: Amazon continues its trend of huge quarterly losses as it builds out its infrastructure and signs new licensing agreements for services like Amazon Instant Video. For Q3, Amazon recorded a net loss of a $437 billion compared to just $41 million for the same period a year ago.
As Bezos said in a 2012 interview with Forbes, “We are comfortable planting seeds and waiting for them to grow into trees.”
Along with Amazon’s earnings report came the news that the company took a $170 million charge that was “primarily related to Fire phone inventory valuation and supplier commitment costs.”
Amazon CFO Tom Szutak further commented on the revelation, stating that the Fire Phone is “a good device in a very competitive market.”
It doesn’t take a rocket scientist to see that the Fire Phone was going to have a tough time out of the gate following its announcement. Perhaps the biggest knock against the phone [initially] was its high price of entry given its meager specs. Amazon priced the phone at $199 on contract for the 32GB model and at $299 for the 64GB model.
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