The cuts keep coming. Amazon has slashed the price of its struggling Fire smartphone again, to $199 for an unlocked 32-gigabyte version with no contract.
The $250 discount comes as the Seattle company struggles with sales — the Fire Phone has flopped since it began selling in July. In September, Amazon cut the price of an unlocked Fire without a contract from $649 to $449. The company also cut the price of the phone with a two-year contract from $199 to just 99 cents at that time.
Last month, Amazon’s chief financial officer, Tom Szkutak, told investors that the company took a $170-million charge because of slow Fire sales.
Amazon had $83 million worth of unsold phones at the end of the third quarter, Szkutak said.
The Fire Phone will continue to come with a free year of Amazon’s Prime service, normally $99 per year. Prime offers access to features such as two-day shipping and access to Amazon Instant Video.
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