Amazon just had their press event and officially announced a few products. They have the new Kindle Fire HD 7-inch and the Kindle Fire HD 8.9-inch. Here's a breakdown below:

Kindle Fire HD 8.9-Inch - Shipping November 20th for $299.99! (There will also be a 4G LTE Version of the 8.9" Kindle Fire HD, which will include 32GB Storage and will sell for $499.99)
  • Built-in WiFi Enhancement tech - MIMO (multiple-input and multiple-output) technology - the software selects the antenna that has less fading - two-antennas to cut down on interference (5GHz band and another that runs on the standard 2.4GHz band) - device buffering - The WiFi is 41 percent faster than the iPad 3
  • Dolby Digital Plus Audio - Stereo Speakers
  • TI OMAP 4470 CPU
  • 8.9 inch display, 254ppi - 1920 x 1200 - The touch sensor is laminated -- 25 % less glare. Sharper, clearer, better contrast - It's got a new polarizing filter on it to cut down on glare and increase the viewing angle
  • 8.8mm, 20 ounces
  • Looks similar to the old Fire
  • Front facing HD camera and customized Skype App
  • 16GB Storage
  • Double the RAM of last Kindle Fire (1GB to be precise)
  • Battery lasts longer and performance is 44 percent faster.
  • Multiple Unique Software Enhancements (especially some related to Amazon's ecosystem, including music, movies, books and games)

Kindle Fire HD 7-Inch - Available September 14th for $199.99!
  • Built-in WiFi Enhancement tech - MIMO (multiple-input and multiple-output) technology - the software selects the antenna that has less fading - two-antennas to cut down on interference (5GHz band and another that runs on the standard 2.4GHz band) - device buffering - The WiFi is 41 percent faster than the iPad 3
  • Dolby Digital Plus Audio - Stereo Speakers
  • TI OMAP 4470 CPU
  • 7 inch display (similar specs to the larger model above)
  • Looks similar to the old Fire
  • Front facing HD camera and customized Skype App
  • 16GB Storage
  • Double the RAM of last Kindle Fire (1GB to be precise)
  • Battery lasts longer and performance is 44 percent faster.
  • Multiple Unique Software Enhancements (especially some related to Amazon's ecosystem, including music, movies, books and games)

There is a third device that is a new variation of the original Kindle eReader. It is called the Kindle Paperwhite, and has a new front-lit eReader with Amazonís latest E-Ink display. It will have a black and white touchscreen E-Ink display with 25% better contrast than previous-generation Kindles and 212 pixels per inch. It will be priced at $159.99, (hence the confusion earlier about prices).

Correction from above: Apparently, we still didn't quite have the facts 100% straight. Yes, there is going to be a new eReader called the Kindle Paperwhite, but the device for $159.99 will actually be an enhanced version of the current Kindle Fire (effectively a Kindle Fire 2). We are still unsure as to the price of the eReader.

Source: Kindle-FireForum