Although Amazon still won’t say how many phones it has sold, the online retailer tacitly admitted weak demand for its Fire Phone Monday, cutting its price to 99 cents with a two-year contract.
Fire Sale for Amazon’s Fire Phone: Now Just 99 Cents!
It’s now 99 cents on-contract -- a $198 price cut.
Ina Fried
“With access to all of the Prime content, Mayday, 32GB of memory and free unlimited cloud storage for photos, plus the exclusive Dynamic Perspective and Firefly features, Fire is another example of the value Amazon delivers to customers,” Amazon Vice President Ian Freed said in a statement.
The Fire Phone currently ranks fifth among contract phones within Amazon’s own store.
The new pricing scheme is a big switch from when Amazon first introduced the phone in June when it spotlighted the fact that it was pricing the phone at a level comparable to the top-of-the-line iPhone and Android-based devices. A month after it was introduced, Amazon put it on sale for $199 with a two-year contract. It runs exclusively on AT&T’s network.
Amazon also dropped the non-contract price of the phone to $449, also a $200 drop.
While phones often get price cuts in short order, Amazon’s is more severe than normal. And, of course, the cut comes a day ahead of Apple announcing its latest crop of iPhones.
Amazon is also expanding sales of the Fire Phone to Europe, with the device slated to go on sale Sept. 30 in the U.K. and Germany.
This article originally appeared on Recode.net.
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