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Amazon CEO confirms Kindle sold "at cost"

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Oct 11 (Reuters) - Amazon Chief Executive Jeff Bezosconfirmed on Thursday that the online retailer sells its Kindlee-reader "at cost", with profit coming instead from sales ofonline content.

Bezos' remarks, in an interview with the BBC, marked thefirst time the company had confirmed long-held Wall Streetassumptions that it did not make a profit on sales of thepopular tablet.

The aggressive pricing furthers Bezos' goal of gettingKindle tablets into the hands of as many buyers of Amazon'sonline content -- from games and books to video -- as possible.

Apple, by contrast, makes much of its profit from hardwaresales. It sells a single-sized iPad at costs ranging from $399to $829, depending on storage capacity, screen resolution andwireless connectivity.

(Reporting By Michelle Conlin; Editing by Ken Wills)

((Michelle.Conlin@thomsonreuters.com)(646-223-5660))

Keywords: AMAZON KINDLE/