Amazon plans to take on Apple’s iPad with Android tablet

Amazon plans to release a tablet computer later this year, hoping to challenge the dominance of the Apple iPad in the market by linking its content to the hardware.

The Android tablet will represent an upgrade to the Kindle platform but will lack some key features, notably cameras for videoconferencing, according to The Wall Street Journal.

Design for the tablet will be outsourced to Asia, and a second model could go on sale next year.

According to analysts, Amazon will be taking on Apple over content. The recent legal fight over the 'app store' brand underlines the two companies' competitiveness in the media ecosphere in computing, and Amazon could benefit from tying customers into a platform as Apple has.

"Amazon and Apple are 'frenemies'," said Sarah Rotman Epps, a Forrester Research analyst.

While the two companies interact to sell media they are in conflict in the applications sphere, she explained.

Amazon's Kindle appears to be the predominant dedicated e-book reader, although the company has yet to release sales figures. However, it remains to be seen whether Amazon can move into the tablet sphere.

"I don't know whether Amazon will be able to compete with Apple head-to-head on hardware sophistication," said Rotman Epps.

Analysts have already predicted strong demand for an Amazon tablet and the move would be a logical step.

However, it remains to be seen whether the design and integration the company can provide will match those of Apple, Samsung, RIM and other players in the booming tablet market.