TechCrunch Report: Amazon 7″ Color Tablet Will Sell for $250 in November

TechCrunch reporter MG Siegler broke the tech story of the summer today, claiming that he has been able to use Amazon’s upcoming Kindle tablet–a 7″ color back-lit screen Android tablet that will reportedly sell for $250. There were no photos.

According to Siegler’s report, the tablet will be released sometime in November. It will compete with Apple’s iPad and Barnes & Noble’s Nook, using Amazon’s powerful suite of cloud-based tools.

Here’s more from the article: “they’re betting everything on the 7-inch. If it’s a hit, they will release the more expensive 10-inch tablet in Q1 2012 … Amazon’s content store is always just one click away. The book reader is a Kindle app (which looks similar to how it does on Android and iOS now). The music player is Amazon’s Cloud Player. The movie player is Amazon’s Instant Video player. The app store is Amazon’s Android Appstore.”

Earlier this week, a research report predicted that Amazon could sell three to five million tablets at a price point below $300. What do you think? Could this new tablet succeed?