Well, that is...weird, and slightly offputting.
But, cloud streaming is something I've always thought had a lot of potential since the Onlive days.
Maybe this could turn into something with the right amount of financial backing.
Even more of a commodity hardware than I though. Definitely less than 300$
If it's really just a streamer, conceivably the price could be something even chromecast-like like $35.
Which was always really the theoretical beauty of streaming. No local hardware costs.
At $35, that would be an instant "why the hell not". At $99, the sell becomes much tougher, much like Onlive's ill fated "console". But, remember Onlive never had glitzy backing like Amazon will. That alone will make a big difference.
If they mean to pack in a controller, and really you have to, that's at least $50 right there.
Edit: Well the article casts the "advanced controller" as optional.
Overall this could have a ton of potential from a non gaming standpoint, and an overall standpoint, with gaming as just one aspect.