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Amazon’s Echo, Kindle, and Fire TV Just Got Hit with Major Price Hikes

Amazon said rising memory and storage costs forced it to adjust pricing across its hardware lineup, including Echo, Fire TV, Kindle and eero devices.

  • Amazon recently increased prices across its hardware line, including Echo, Fire TV, Kindle, and Eero devices, stating it absorbed component costs as long as possible before adjusting pricing.
  • High demand for AI data centers has absorbed memory supplies, creating a phenomenon analysts call "chipflation." Amazon Chief Executive Andy Jassy noted the company expects to spend $220 billion this year on capital expenditures.
  • The Echo Dot rose from $49.99 to $79.99, while the Eero Pro 7 increased by $100 to $799.99. Competitors Microsoft and Apple have also raised prices or reduced memory in their hardware.
  • Amazon notably exempted Ring security products from price hikes, prioritizing sales momentum for categories less tied to its content ecosystem, as Echo and Fire TV customers frequently drive Prime Video and Music subscriptions.
  • Jassy warned that capacity will remain tight through 2026 and 2027, with forecasts suggesting DRAM contract prices will climb another 13 to 18 percent, raising questions about affordable connected devices.
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Fortune broke the news in New York, United States on Friday, August 21, 2026.
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