Amazon.com Inc. recorded a decline in third quarter profit this week amid expenses for new products, including the new Kindle Fire.
The company this week held a net income decline of 73 percent to $63 million, down from $231 million one year prior.
Amazon cited high shipping costs and the addition of 17 new fulfillment centers which hampered profit margins.
It expects Q4 results to range from a $200 million loss to a profit of $250 million.
Applications include the Amazon Silk Browser, E-Mail, Amazon Instant Video, Amazon Appstore, and Amazon Cloud Drive with unlimited cloud storage for Amazon content.
Finally, each Kindle Fire will include a free month of Amazon Prime membership.
Amazon is expected to shun profit margins for the device in favor of digital sales of books, movies, and TV content through the hardware.
Amazon in Sept. announced new Kindle models including the Kindle at $79.00, the Kindle Touch with touch display and built-in Wi-Fi at $99.00, and the Kindle Touch 3G which adds free 3G wireless functionality at $149.00.