Amazon is slashing the price of its Fire phone by $200, just seven weeks after launch.
The 32 GB model will now cost $0.99 with a two-year contract, or $449 without a contract. When Amazon launched the phone on July 25, it cost $199 with a contact, or $649 without one. Amazon is also dropping the price of the 64 GB model by $200. It now costs $99 with a two-year commitment, or $549 without a contract.
Amazon is also expanding availability of the phone to the United Kingdom and Germany, but it's still only available on AT&T in the United States.
The Fire phone still includes a free year of Amazon Prime--a $99 value--but Amazon notes that it's a limited-time offer.
Although the Fire phone got a lot of buzz from the tech press before launch, most reviews recommended that buyers steer clear, at least until Amazon worked out some of the phone's kinks. Major complaints included a limited app store, weak battery life, lackluster design and not enough compelling uses for the phone's Dynamic Perspective and Firefly features.
The Fire phone also lacked some common features found on the iPhone and Android phones, such as turn-by-turn walking directions and extensive voice commands. The phone's high-quality camera and quick access to music, books and videos didn't quite make up for those shortcomings--especially when it cost the same as an iPhone and high-end Android phones.
The lower price may boost sales, and a recent software update helps make the Fire phone a bit more functional, but such a steep price drop so soon after launch isn't a good sign for Amazon's first smartphone. While Amazon doesn't reveal sales figures for its devices, one unofficial estimate claimed that well under 40,000 people had purchased the Fire phone in its first month.