Amazon working on two Android tablets, codenamed “Coyote” and “Hollywood”?

Rumors that Amazon well be releasing a Kindle tablet are looking a bit more clear, with a report saying that the company is actually working on two different tablets, according to Boy Genius Report.

An entry-level tablet codenamed Coyote will be powered by Nvidia's dual-core Tegra 2 mobile platform, while a more powerful device codenamed Hollywood will sport Nvidia's upcoming quad-core "Kal-El" chip, the website reported Monday, citing a "tipster."

The source did not provide screen-size details, according to BGR.

The processor details put the theoretical release of the rumored Hollywood tablet at no earlier than the second half of 2011. Nvidia's Kal-El upgrade to its Tegra lineup isn't expected to be released until then.

Kal-El promises a significant boost to Tegra. The System-on-a-Chip (SoC) for mobile devices like tablets and smartphones boasts a 1.5GHz, quad-core ARM Cortex-A9 central processor and a 12-core Nvidia graphics processor that's purported to deliver five times the performance of the GeForce GPUs in the Tegra 2 SoC.

Rumors have been swirling about an Amazon tablet for several weeks. In a recent interview with Consumer Reports, Amazon CEO Jeff Bezos suggestively responded, "Stay tuned," when asked if there would be a Google Android-based tablet from his company in the future.

Earlier in May, it was reported that Taiwan-based Quanta Computer has been tapped to assemble up to 800,000 of the rumored devices a month for the maker of the Kindle ereader.

Sources cited by DigiTimes said Amazon is banking on its extensive content assets to position the rumored tablet (or tablets, if BGR's tipster is correct) against Apple's iPad and iPad 2, the runaway best sellers in the emerging media tablet market.

Tablet content that can match Apple's iTunes and App Store libraries is seen by many analysts as key to challenging the market leader's dominance.

Apple currently owns upwards of 80 percent of the media tablet market, despite a growing number of challengers to the iPad like the Motorola Xoom and Blackberry PlayBook.

This article, written by Damon Poeter, originally appeared on PCMag.com and is republished on Gear Live with the permission of Ziff Davis, Inc.