Sources have suggested that the next Kindle Fire would have physical volume buttons as well as a camera. The device may well have a higher-resolution display and will more than likely come with different options (8Gb & 16GB) as the Nook Tablet and Nexus have. There may even be a cheaper (ad-supported) model and a larger Kindle Fire to compete more directly with the Apple iPad.
Although we don’t except any cuts in price on the Kindle ereaders, we do expect some new features and improvements. We also expect a new Kindle that offers an integrated light to be introduced to compete with Barnes and Noble’s Nook Simple Touch with Glowlight.