Amazon makes a stupid mistake by banning sales of new Apple TV

“According to BloombergBusiness, Amazon sent an email to its marketplace sellers informing them of its decision to stop allowing that sale of the competing streaming devices, which takes effect on Oct. 29,” Andrés Cardenal writes for The Motley Fool. “The official explanation is that some consumers were getting confused between all the options when looking for a streaming device, and that Apple TV and Chromecast ‘don’t interact well’ with Prime Video, which it now considers a major selling point for Amazon Prime.”

“However, you don’t need a Ph.D. in astrophysics to distinguish between Fire TV, Apple TV, and Chromecast,” Cardenal writes. “In any case, the right solution for that problem would be educating consumers and providing clearer information, not banning competing products from its store. At the end of the day, Amazon’s explanation sounds more like an excuse, and not even a very creative one.”

“From a strategic perspective, Amazon is running a considerable risk here. If Apple and Alphabet decide to retaliate — for example, by removing Amazon’s shopping app from iOS and Android devices — things could get much more serious. It seems like Amazon has more to lose than Apple and Alphabet from a full-blown ecosystem war,” Cardenal writes. “Even worse, Amazon’s move is hurting consumers by limiting their choices and product availability, and this is one of the worst things the company can do. Amazon is first and foremost a retailer, so taking care of customers in its retail business should be its top priority… The decision to ban Apple TV and Chromecast goes against Amazon’s culture and long-term success strategy, so it doesn’t look like a smart move from the online retailer.”

Read more in the full article here.

MacDailyNews Take: As we wrote on October 3rd:

Amazon had better be careful lest they gain and cement the reputation as “the everything store that doesn’t offer everything.”

SEE ALSO:
Amazon pulled Apple TV from their store, so Apple should pull Amazon apps from their App Store – October 3, 2015
By banning Apple TV and Chromecast, Amazon shows what it means to be a monopolist – October 2, 2015
Amazon to ban sale of Apple TV, other streaming devices – October 1, 2015
Apple TV and voice control: What Siri does that the others don’t – September 18, 2015
With the all-new Apple TV, Apple changes the game, yet again – September 14, 2015
What Apple got right in Apple TV’s user interface – and what needs work – September 11, 2015
New Apple TV has the potential to do for television what iPhone did for mobile phones – September 11, 2015
Apple preps to conquer living room with all-new Apple TV – September 11, 2015
Hands-on with the all-new Apple TV – September 10, 2015
Gruber: Apple TV will define how all TVs will work in a few years – September 10, 2015

[Thanks to MacDailyNews Reader “Edward W.” for the heads up.]

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