The reason, of course, is the new $329 iPad. Apple is finally starting to compete on price, and while you can get six 7-inch Fire tables or or four 8-inch Fire tablets for that price, the iPad is still one of the best tablets, and $329 is quite a drop in price from the usual $499 for a new iPad. (One of my relatives got the $329 iPad this summer and just loves it.)
Amazon figured this out a while ago. The Kindle Fire HDX tablets were excellent devices, but they still cost $229 and up. Amazon hit on a winning formula by building tablets that weren’t quite as nice and selling them for much less. It seems that even Apple has now followed that strategy.