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Amazon unveils £130 i-pad rival

Amazon is launching a tablet computer aimed at challenging Apple’s iPad by extending its Kindle brand into the world of full-colour, multipurpose devices.

The Kindle Fire will sell for 199 (£127) in the US when it goes on sale in November.

It is about half the size of the iPad, making it a close match with the US Barnes & Noble’s Nook Color tablet, which came out last year.

But while Barnes & Noble sees the Nook Color as jazzed-up e-reader, Amazon has broader goals for the Fire, as a platform for games, movies, music and other applications.

Chief executive Jeff Bezos also showed off three new black-and-white Kindle models, including its cheapest yet, at 79 dollars (£50). A touch screen model will cost 99 dollars (£63), and one with mobile network access will cost 149 dollars (£95).

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