Great read and I agree with the majority of it.

This stood out though:

>Amazon’s retail strategy of being allergic to profit does not translate well into hardware manufacturing.

Don't most gaming consoles sell at a loss? The pickup for the console maker is on the publishing rights & distribution channels and the fact they take a gamble that the hardware will get cheaper over the course of that hardware generation. I had always though that it what Amazon was trying to emulate with their hardware attempts.