Despite Early Criticism, Amazon May Sell 12 Million Kindle Fire Devices in 2012

Amazon is hoping people will once again discover fire -- the Kindle Fire, that is. Perhaps you've heard of it? Of course you have, because the Kindle Fire is Amazon's comparatively low cost ($199) 7-inch slate that, prior to its launch, was garnering all kinds of pre-release hype. Well, now it's here and while initial reviews are a bit of a mixed bag, Amazon could still end up selling a whole bunch of Kindle Fire devices.

Citi analyst Mark Mahaney thinks Amazon will sell 12 million Kindle Fire devices in 2012, according to AllThingsD. If Amazon is able to do that, it will take 15 percent of the tablet market share away from Apple and generate about $3.2 billion in revenue.

"With an aggressive pricing strategy, an unmatched content cross-sell opportunity, a market-smart form factor, and probable product improvements -- Amazon can own a substantial segment of the tablet market," Mahaney told AllThingsD.

Barnes & Noble might have something to say about all that and will be competing for the same subset of tablet buyers with its $249 Nook Tablet. But does the Kindle Fire really have what it takes to scorch the competition?