Amazon tablet priced at $199: report
The Kindle Fire has a seven-inch screen, Wi-Fi, but no camera or 3G wireless connection, according to Bloomberg.
Amazon shares rose 3.2 percent $231.29, while shares of Barnes & Noble, maker of the Nook e-reader, dropped 7.9 percent to $12.16 in morning action.
(Reporting by Alistair Barr in San Francisco and Phil Wahba and Liana Balinsky-Baker in New York, editing by Gerald E. McCormick)