Showing posts with label amazon. Show all posts
Showing posts with label amazon. Show all posts

Sunday, October 26, 2014

Amazon loses $437M in Q3, $170M due to a Fire Phone failure

Amazon posted its Q3 earnings for this year - the company achieved $20.58 billion revenue which is a 20% increase compared to last year's Q3 when it pulled in $17.09 billion.
The company's operating loss tips the scales at $544 million, though, a whopping increase compared to last year's Q3 loss of just $25 million. Net loss is $437 million.

Amazon's results are a direct reflection of the company's Fire Phone not having the best market performance. The company was forced to make a writedown of $170 million to cover costs related to inventory and suppliers.
Perhaps part of the reason the Fire Phone hasn't taken off is the crowded market or perhaps the fact that Amazon agreed to make its first smartphone an AT&T exclusive (aside from Amazon's own retail chain), which has hurt other companies in the past (here's looking at you, Nokia).