Amazon Kindle HD Model to Launch at $99

Amazon is now rumored to be launching a Kindle Fire HD variant that will cost just $99.

A source revealed to Techcrunch this week that this will be a 7-inch tablet that will come with the same TI processor as other Kindle Fire variants. It will also be $100 cheaper than the current Kindle Fire HD model.

Amazon has denied these plans to create a Kindle Fire HD at this price point, but with the prices of parts going down, there is a strong possibility it could happen.

The Amazon Kindle Fire HD 8.9 price dropped in the U.S. recently.

Amazon issued a press release earlier this month stating that the price of the device will now be $269 for the Wi-Fi only version and the 4G model will cost $399.

"We're thrilled with customer reaction to Kindle Fire HD 8.9. Customers tell us they love our large-screen version of Kindle Fire HD for web browsing, email, gaming, watching TV shows, reading magazines, and more," said Dave Limp, Vice President for Amazon Kindle.

He also spoke about launching the devices in other nations including countries throughout Europe and Asia.

"As we expand Kindle Fire HD 8.9 to Europe and Japan, we've been able to increase our production volumes and decrease our costs. Across our business at Amazon, whenever we are able to create cost efficiencies like this, we want to pass the savings along to our customers," he added.

Amazon unveiled the Kindle Fire at a press conference towards the end of last year.

This device is the successor to the original Kindle Fire tablet and sports an 8.9-inch screen with 1920 x 1200 pixels resolution and 254 PPI. The Kindle Fire HD is also be capable of in-plane switch and Amazon promises that it is 40 percent faster than the original thanks to its TI OMAP 4470 processor.