AdAge claims that the internet retailer is considering introducing adverts to the tablet's welcome screen, reducing the retail cost of the hardware.
Amazon already offers less expensive models of its Kindle e-reader in the US, with advertising revenue subsidising the cost of the device.
The report notes that advertising partners will have to pay in the region of $600,000 (£380,000) to advertise on the home screen of the bestselling tablet, which is available only in North America at present.
Amazon is allegedly planning to release a next generation model of the Kindle Fire with a larger display in the US before Christmas, according to reports that emerged this week.
Amazon is yet to announce plans to release the first generation Kindle Fire overseas, though the firm has been tipped to launch a new Kindle e-reader with front lighting in the UK in July.