Amazon "paying" for web-browsing or not?

[cjottawa]

Though this has been discussed in other threads, I'm not sure this has ever come up as a topic of its own.

On Amazon's Kindle 3G+WiFI product page (http://www.amazon.com/Kindle-Wireles.../dp/B002FQJT3Q), they make the statement:

"...there are no monthly fees or commitments—Amazon pays for Kindle’s 3G wireless connectivity..."

Wild theory: perhaps Amazon isn't actually paying any 3G connectivity fees, having negotiated free connectivity with wireless carriers. The carriers simply take a cut of any books or other paid content sold through Amazon and eat whatever data use is generated.

If Amazon has negotiated free wireless, there's probably no reason to monitor your web surfing or purchase habits.

On the other hand, if wireless is costing Amazon on a per-megabyte basis, users who do a lot of web surfing and no purchasing might end up on a "deadbeat" list.

Thoughts? It's all armchair quarterback talk but it would help to understand the business model and perhaps some of the risks to the consumer.

[duckeedoug]

This is contract negotion stuff. So unless you have have access to Amazon's contract it would be pure guessing on everyone's part. What I do know is that it doesn't cost me anything unless it is a personal document. It was worth it for me to spend the extra $50 even though I never thought that I would use it that much. I also own a Sony e-reader and putting content on it is easy enough, but wireless add a whole new element. I also have a Virgin mobile hotspot (highly recommended) that I could have used with the K3 Wifi and still can, but I haven't even had a need to configure wifi parameters on the K3 since the 3G works so well.

[carld]

One way or another Amazon is footing the bill for 3G wireless, whether it's through direct payment or through a portion of book proceeds, or some other sort of revenue sharing. I don't see AT&T or Sprint being willing eat the 3G costs at all.

As to heavy 3G users, I'm not sure there are any. The browser is greatly improved on the K3, but that's not saying a whole lot. It's nice in a pinch, but I can't see anyone spending that much time on it. Now if someone out there is using their Kindle for some sort of tethering I can definitely see Amazon putting a quick stop to that.

[HarryT]

Why do you care? The important thing is that the customer doesn't pay. That's really all that matters.

[enkov]

m.facebook.com is too free in most GSM providers. Why pays for this trafiic?

[duckeedoug]

cjottawa..I would venture to guess that amazon pays per unit. I just think logically Amazon would not provide a web browser or continue to enhance the web browser if there was a cost for using data. In some instances the Kindle unit can consume more data surfing then downloading content. This is not kindle specific as far as consumption goes. Even if not downloading/uploading there is still data being consumed everytime a webpage is refreshed or a request is made to refresh data or provide web content. Now what I would like to know is what would happen if you take the SIM card out of the Kindle and insert it into a 3G phone, as I'm quite surprised that the Kindle actually has a SIM card. I don't know if this would be a violation of the terms of service agreement, but i'm betting that it would be. I also wonder what would happen if I took my SIM out of my phone and inserted it into the Kindle, I wouldn't want to but would the kindle be able to connect to amazon in that instance.

[cjottawa]

@HarryT As I say, it's all armchair quarterbacking but then, most online discussions are so why not make this a point of discussion?

I do have a motive for bringing it up. If there's some hidden cap on 3G use or a formula for ratio of paid data (personal documents, books) to free data, it would be useful to know to avoid stepping over that line.

@duckeedoug There was a discussion here on MR a while ago in which removing the SIM card was asked about. Here it is: https://www.mobileread.com/forums/sho....php?p=1168588

It appears moving the K3 SIM card to another device would be in violation of the Amazon Kindle terms of use.

A fee per unit sold seems like a plausible model. WiFi only to 3G+WiFi is a $50 premium. Is a 3G modem and SIM card $50 or is there money left over to pay the wireless companies?

[kindlekitten]

I think you're overthinking it

[desertblues]

Originally Posted by cjottawa

@HarryT As I say, it's all armchair quarterbacking but then, most online discussions are so why not make this a point of discussion?

I do have a motive for bringing it up. If there's some hidden cap on 3G use or a formula for ratio of paid data (personal documents, books) to free data, it would be useful to know to avoid stepping over that line.

@duckeedoug There was a discussion here on MR a while ago in which removing the SIM card was asked about. Here it is: https://www.mobileread.com/forums/sho....php?p=1168588

It appears moving the K3 SIM card to another device would be in violation of the Amazon Kindle terms of use.

A fee per unit sold seems like a plausible model. WiFi only to 3G+WiFi is a $50 premium. Is a 3G modem and SIM card $50 or is there money left over to pay the wireless companies?

For personal documents I've set my Maximum Charge( on Manage Your Kindle) to $0.00, so Amazon sends my documents to @free.kindle.com.
Though I frequently get the message that my documents are too big, they always get send to the @free.kindle.com., without any charge.

As for roaming abroad,which my European (not-UK) Kindle isn't suppose to do: I could browse on the Kindle when I was abroad and couldn't get wifi for my iPad. I never got charged or heard anything from Amazon about costs of the Kindle-roaming; so it appears they don't monitor that kind of use?

I think, considering the browser of the Kindle, which is elementary but functions well; I wouldn't suggest it for some heavy browsing anyway.