The readily apparent theme of the first Kindle Fire's iFixit teardown was that Texas Instruments
There's a lot of consensus that the Kindle Fire 2, codenamed "Hollywood," will feature a larger screen that may compete more directly with Apple's
The latest hint that hopes to confirm that rumbling is a research note from Canaccord Genuity analyst Bobby Burleson, who cites "conversations with sources in the tablet supply chain." Burleson also pegs the screen size at 8.9 inches, up from the current 7-inch display. He also adds that "a win or loss in the next gen Fire could be seen as a proxy for [Texas Instruments'] overall apps processor potential in higher-end tablets."
There are really only two possible contenders here: NVIDIA and Qualcomm
NVIDIA is the first ARM Holdings
TI has all but ditched quad-core mobile chips amid doubts over cost and temperature. It wouldn't be surprising if it starts to lose mobile ground as a result of that decision, in line with Burleson's proxy statement above.
This rumor has some serious legs to stand on, and NVIDIA's mobile strategy is one reason I'm bullish on the chip maker. In all likelihood, the next-gen Kindle Fire is about to enter production ahead of an early 2012 launch.
Fool contributor Evan Niu owns shares of Amazon.com, ARM Holdings, and Apple, but he holds no other position in any company mentioned. Click here to see his holdings and a short bio. The Motley Fool owns shares of Apple, Qualcomm, and Texas Instruments. Motley Fool newsletter services have recommended buying shares of Apple, Amazon.com, and NVIDIA; writing puts in NVIDIA; and creating a bull call spread position in Apple. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.