Trending: Amazon responds after leaked memo reveals company’s PR strategy against warehouse worker this morning overhauled its lineup of Kindle devices and expanded for the first time into the world of general-purpose computing for consumers — taking on the likes of Microsoft and Apple with a $199 tablet computer, dubbed the Kindle Fire.

Yep, Amazon is coming out with an iPad rival, and for hundreds of dollars less than Apple charges. But more than that, the Seattle company is reshaping its business for a new era in which people consume content — and making purchases — while leaning back in their seats with a tablet. Amazon is banking on users paying for subscriptions and media downloads to help subsidize the low price.

“We don’t think of the Kindle Fire as a tablet. We think of it as a service,” Amazon CEO Jeff Bezos tells Bloomberg Businessweek.

Here’s a rundown of highlights from this morning’s news …

Kindle Fire: This is Amazon’s new tablet, with a specialized interface on top of Google’s Android operating system. It’s available now for preorder and will ship Nov. 15. It comes with a dual-core processor, 8GB of storage and WiFi connectivity but not a 3G connection.

Its 7-inch LCD color screen uses extra-strength glass that Amazon says will resist accidental bumps and scrapes. Kindle Fire weighs 14.6 ounces, slightly less than a pound — light enough to carry with one hand, Amazon says — compared with the iPad 2’s weight of a little more than 21 ounces (1.33 pounds). Promised battery life is 8 hours on one charge, and it offers free online storage for all Amazon content.

Amazon says Kindle Fire comes with a USB port but doesn’t need to be synced to a computer. It also has a 3.5 mm stereo audio jack.

Built-in features include an email client that can integrate multiple accounts, the Amazon Silk web browser, plus access to Android app and games. And Kindle books, of course.

Kindle Touch: Amazon’s first touch-screen Kindle does away with the old keyboard and physical buttons, allowing users to page ahead and back by touching the right and left sections of the screen.

New features include “X-Ray,” which Amazon says will let users tap to see the “bones of a book” — “all the passages across a book that mention ideas, fictional characters, historical figures, places or topics that interest them, as well as more detailed descriptions from Wikipedia and Shelfari.”

The WiFi version sells for $99 with the aforementioned ads, and $139 without them. A version with 3G mobile connectivity goes for $149 with ads and $189 without.

Kindle Touch is slated for release in November.

New Kindle: This is the revamp of Amazon’s basic Kindle e-reader, and the big news is that it sells for a rock-bottom $79, shipping today.

The big caveat is that the $79 price is for the “Special Offers” version that includes sponsored screensavers and special deals — also known as advertising. For an ad-free experience, this one will sell for $109, still a notable reduction in price from previous versions.

It comes with a 6-inch screen and built-in WiFi, and weighs less than 6 ounces.

Here’s an ad that Amazon will air for Kindle Fire, which also explains the origins of the name …

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