HN isn't really a kid friendly community, but this would work pretty well for kids age maybe 3 to 10 who just want to listen to music, maybe video call grandma.
Sort of a post-iPad reaction to the failure of tablets.
This looks like an iPad / tablet charging stand with speakers and better mic -- which there are plenty of in the market. You can get one of these for $20 (or $99 if Apple makes it!). Amazon is just hoping that the success of Echo will push this forward. This will be another Fire incident for Amazon.
Disagree. This is entering a far less saturated somewhat new market. A very focused communication/consumption device where the tablet is trying to be a laptop.