Amazon quietly raises prices across Echo, Kindle and Fire TV lineups

Amazon has increased prices across much of its consumer hardware range, with some products now costing up to 60% more, according to multiple reports. The unannounced price adjustments, which took effect around 21 August, affect most Echo speakers, every Kindle e-reader, all Fire TV streaming devices and the latest eero routers.

The company has not publicly announced the changes, but an Amazon spokesperson confirmed the increases to Fortune, attributing them to "significant increases in memory and storage component costs." The spokesperson added that Amazon had absorbed the higher costs "for as long as we could" before adjusting prices.

Which devices went up and by how much

The scale of the increases varies widely by product. The Echo Dot, Amazon's most affordable smart speaker, saw the steepest percentage jump, rising 60% from $49.99 to $79.99, according to Engadget and The Next Web. The Echo Show 21 rose $100, from $399.99 to $499.99.

Among e-readers, the basic Kindle 16GB went from $109.99 to $149.99, while the Kindle Paperwhite 16GB rose from $159.99 to $199.99, Engadget reported. The Fire TV Stick 4K Max increased from $60 to $85, and the Fire TV Cube jumped from $139.99 to $199.99, according to The Next Web.

For the first time in years, Amazon's mesh Wi-Fi routers also received price hikes: the eero 7 three-pack rose from $349.99 to $399.99, while the eero Pro 7 three-pack went from $699.99 to $799.99.

Which devices were spared

Not all Amazon hardware was affected. Ring security cameras and video doorbells kept their prices, as did the premium Echo Studio smart speaker. The Next Web noted that Amazon has not explained why those products were excluded.

In the UK, the increases are arriving alongside Amazon's back-to-school sale, which temporarily softens the blow. The entry-level Fire TV Stick HD is currently on sale for £23.99 but will rise to £59.99 once the promotion ends, The Sun reported. The Fire TV Stick 4K Max will jump to £99.99, up from its current sale price of £47.99.

An industry-wide squeeze

The price increases are the latest sign of strain in the global memory chip market, which has been buffeted by surging demand from artificial intelligence data centres. Apple raised prices across its Mac and iPad lineup in June, and Roku increased prices on some streaming devices by up to $50 in July, Engadget reported.

Amazon CEO Andy Jassy raised the company's capital expenditure guidance to $220 billion in late July, citing higher memory costs as a factor. The company's cloud division, AWS, reported second-quarter revenue of $42.2 billion, up 37% year over year, according to The Next Web.

The full extent of the price increases was first reported by Fortune on 21 August, with Engadget describing Amazon as the latest casualty of "RAMaggeddon."