Yesterday was a a big day for Amazon. Not only for the annoucement of new Kindle devices (Amazon's fast selling e-reader), but also for the announcement of the new tablet device from Amazon, the Fire.

The new tablet will be weighing in at a very tempting $199, around half the price of the entry level iPad. For $199 you actually get quite a lot for your money. The Fire will sport a 7 inch IPS display with capacitative touch screen, a 1GHz TI OMAP processor, 512 MB of RAM and 8 GB of built in storage. It will also come pre-loaded with Android.

The price point alone will appeal to many, particularly if Amazon have avoided many of the pitfalls that other low price tag tablets fall into. The Amazon Fire may be the latest entry into the tablet market, but it is easily the most exciting addition since the iPad defined the market. This is a product to watch.