By Sam Oliver February 20, 2012

Amazon plans to expand its Kindle lineup and more directly take on Apple's iPad with a new 10-inch Kindle Fire tablet set to launch in the second quarter of this year, 
according to a new report. Amazon has begun placing orders for the new, larger Kindle Fire ahead of its launch in the coming months, DigiTimes reported on Monday. Foxconn is said to have earned original design manufacturer orders, ousting Quanta Computer and Inventec, which are current ODMs for the 7-inch Kindle Fire. In a separate report, the publication also said that Amazon has also ordered color e-ink displays for a new 6-inch Kindle model. The new color screens from E-Ink Holdings are expected to begin shipping in March. After launching at an aggressive $199 price point last year, the Kindle Fire is estimated by IHS iSuppli to have sold 3.9 million units in the fourth quarter of 2011. Another, more aggressive estimate from investment bank Stifel Nicolaus pegged sales at 6 million.

Read more here –>appleinsider.com