Amazon has a media event planned for Sept. 5 in Los Angeles, and what the company might unveil may be coming into full view thanks to new rumors. The Wall Street Journal reported this afternoon that Amazon is currently developing an ad-supported Kindle Fire, according to sources “involved in discussions on the device.” The new ad-supported Fire is said to be cheaper than the current $199 model, which could be a sure-buy for customers wanting to purchase a tablet on the cheap. Amazon will allegedly display an ad for a product or service when the device  awakens to make up for the discount and potentially make some big bucks. Specs were not given in the report.

The Wall Street Journal is not set on whether the ad-supported Fire will be unveiled at next week’s event. However, what seems to be an almost sure bet is that the Kindle Fire 2 has begun to come full-circle over the past few days. We got a look yesterday at alleged press shots for the tablet, toting a webcam and mic for video chatting. Of course, nothing is for sure until Amazon steps on stage next week, and you bet we will have you covered. [WSJ]

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