Amazon is starting to look desperate in the war for content control against Apple. The online retailer has now reportedly threatened to pull content from two more publishers (the first was Macmillan) if they don’t agree to three year pricing contracts for ebooks. The contracts are designed to guarantee that consumers will get the lowest possible price on ereader content in Amazon’s Kindle store. It’s not anything new. In fact, Apple is trying to lock up the same deal.

The deal is undeniably bad for publishers, though. It gives them no flexibility for change as the market matures, which it certainly will over the next three years. The New York Times article didn’t say which two publishers were being threatened, but you can bet no one wants these kinds of contracts. The fact that Amazon is actually going forward with such aggressive measures says only one thing: this is the last resort. If there were other, more suitable alternatives for both parties you can bet Amazon would have explored them. It would garner a lot less press attention and make the company seem far less money hungry and desperate in the eyes of the consumer.

Source: New York Times

The day Apple announced the iPad, Amazon was calling newspapers and publishers before Steve Jobs had even left the stage. As the New York Times’ Bits blog has it, Amazon wanted to hear what Apple had offered. Amazon had been trying for more than a month to sign deals with publishers that would give Amazon customers the best prices anywhere, either by matching or beating the prices given to other dealers.

Amazon tried to sweeten the deal by offering publishers bigger revenues than in the past. Unfortunately, Apple was willing to budge on a much larger issue: price. With Apple, publishers had a bit more flexibility than Amazon would give, which in turn gave publishers bargaining power over Amazon. See, Amazon will do just about anything to stay competitive with Apple.

In fairness to Amazon, it’s not like publishers want to upset that distribution channel. Amazon pretty much pioneered the ebook scene – it certainly made ebooks as popular as they were likely to become before some sort of wonder device came along – which leaves publishers keen to cater to the existing subscribers in Amazon’s marketplace until either the iPad gains enough ground or Amazon releases a new reader.

That last point is very important. If Amazon doesn’t release a new reader within the next year or so, it will pigeonhole itself into becoming solely a content provider, a position I wouldn’t think Bezos wants to be in considering he started the Kindle. Rarely would a company of Amazon’s scale introduce a middling product only to do away with it in a couple years.

Source: Bits

Following a very public feud over ebook pricing, Amazon has caved to Macmillan, giving the publisher it’s desired $14.99 price point for ebooks. The switch came after Macmillan threatened to pull all future publications from Amazon’s Kindle Store if it wasn’t given flexibility with regard to price.

Amazon announced the news to its customers with the following statement:

Dear Customers:

Macmillan, one of the “big six” publishers, has clearly communicated to us that, regardless of our viewpoint, they are committed to switching to an agency model and charging $12.99 to $14.99 for e-book versions of bestsellers and most hardcover releases.

We have expressed our strong disagreement and the seriousness of our disagreement by temporarily ceasing the sale of all Macmillan titles. We want you to know that ultimately, however, we will have to capitulate and accept Macmillan’s terms because Macmillan has a monopoly over their own titles, and we will want to offer them to you even at prices we believe are needlessly high for e-books. Amazon customers will at that point decide for themselves whether they believe it’s reasonable to pay $14.99 for a bestselling e-book. We don’t believe that all of the major publishers will take the same route as Macmillan. And we know for sure that many independent presses and self-published authors will see this as an opportunity to provide attractively priced e-books as an alternative.

Kindle is a business for Amazon, and it is also a mission. We never expected it to be easy!

Thank you for being a customer.

I can’t help but feel Amazon is making an irrelevant appeal to the Kindle consumer base. By and large these will be people with more money to spend on books, considering they’ve dropped a couple hundred bucks up front to gain access to the titles. If they really want one of the books, would the consumer base really not buy because of a $15 price tag, one that’s still far cheaper than the hardback option? Probably not.

As a writer, I’m reassured to see publishers taking the reins on this one.

Source: Amazon

At some point yesterday Amazon pulled any ebooks from publisher Macmillan due to a pricing dispute, according to the New York Times. Apparently Macmillan wanted to raise prices from $9.99 to $15 and Amazon didn’t approve.

You might remember the same thing happening as iTunes was starting to get its legs. Apple used its massive marketshare to strong arm media companies to the $.99 price point, which most everyone felt was too low. Obviously that model has worked out in Apple’s favor, if not in the favor of most record labels, a few of which were able to strike more flexible deals.

There is one major difference – Macmillan has somewhere to go. Apple is just about to open the iBook Store for its new iPad, which, in all likelihood, is going to outsell the Kindle by quite a bit. Most estimates put the Kindle’s installed base around 3 million. The iPad could easily have that by the end of this year.

I would be pretty surprised, though, if Jobs was willing to give Amazon the price advantage in the ebook war.

Source: http://bits.blogs.nytimes.com/2010/01/29/amazon-pulls-macmillan-books-over-e-book-price-disagreement/

Amazon today quietly confirmed that it would start selling the Kindle DX in international markets in the near future. The news isn’t really a shock after the GSM Kindle announcement. As you may recall, the DX is the bigger version designed for textbooks and newspapers. It’s the model that was offered to Princeton students free of charge. The model those same students hated.

According to SlashGear, Amazon has only said “next year” with regard to a date and won’t say anything about pricing. The international Kindle 2 runs $20 above the states-only version. I’d guess the DX will be about the same, giving Princeton the unique opportunity of subsidizing $20 toward even crappier AT&T service for the rest of us. Thanks guys!

Amazon is cutting the price of the Kindle once more, this time hoping for a holiday rush. When the Kindle 2 launched it was $359. It dropped to $299 in July and has now cut another $40, bringing the world’s most famous e-reader to an almost reasonable $259 ($199 and we’ll talk, Bezos).

With the price cut also came news that wireless download capabilities have been added internationally in 10 different countries. That’s a big update for a feature that was previously only available stateside. The updated wireless also comes with a carrier change, from Sprint to (gasp!) AT&T. Yes, AT&T will be handling wireless communications for the internationally capable device in the US and abroad, which makes me wonder, does AT&T want to bury itself under a mountain of complaints? Of course, there are so few Kindles in the wild compared the newly VoIP over 3G enabled iPhones that this is probably a molecule in the vast ocean of AT&T’s wireless demands.

Of course by “ate” I mean “deleted without warning” and by “Amazon” I mean “another in the growing list of evil companies who can’t get their digital rights straight.” The suit, which is a class action, is being brought by Justin D. Gawronski, a 17-year-old from Michigan who lost his notes on George Orwell’s 1984 when Amazon went and pulled the book from all of its Kindle devices.

While I am glad to see someone taking legal action on the matter, it’s a little absurd that it was a 17-year-old who had to do the deed. I would hardly call losing your summer reading notes a serious injunction, but then, what really could be in this situation? The most serious part is simply that Amazon did it, and they shouldn’t have. Now it’s up to the courts to decide if that has any reasonable legal implications. My guess is they’ll simply say, “no.”

In case you missed it yesterday, Amazon dropped the price of the Kindle to $299. Rumor has it the price drop comes as a result of increased competition from other manufacturers eager to enter the market.

Ross Rubin, a consumer analyst at NPD group had some disparaging remarks. “While it is a significant drop both in terms of the overall percentage of the price as well as getting under the $300 barrier, it is still not going to be enough to break it out of its niche,” he said. For the most part I agree. Getting under $300 probably means a few more people will pick up the device, but the price of the media hasn’t changed, and neither have the DRM issues, so it’s tough to see the Kindle really “take off” as a result of the cut.

Amazon will be offering consumers a $60 credit if they purchased a Kindle in the last 30 days. The Kindle DX, which sports a larger screen, remains at the $489 price point. For now, anyway.

A couple days back I made a post about what it would take for me to get a Kindle. I’m looking for cheaper access to ebooks on more devices, and according to Jeff Bezos, I should be getting one of those wishes in the near future.

At a conference this week, Bezos laid out his plan for Amazon’s Kindle brand in full detail.

The device team has the job of making the most remarkable purpose-built reading device in the world. We are going to give the device team competition. We will make Kindle books, at the same $9.99 price points, available on the iPhone, and other mobile devices and other computing devices.

The good news, obviously, is that we’ll start to see ebooks on more portable and more versatile devices. The Kindle App for the iPhone is a great example of this, bringing the books to a device you’ll have with you regardless, not requiring you to lug something like a Kindle around.

As for bad news I can’t help but wonder, what’s the lifespan of the Kindle? Bringing ebooks to devices that have more features than the Kindle means one thing – the Kindle is going to die. Purpose-built devices have been disappearing for decades as consumers look for that all-in-wonder device. Cellphones, portable gaming systems, digital cameras, and digital camcorders have now all been wrapped up into one device. We went from word processors to computers to laptops to laptops with built in fingerprint readers and webcams and anything else you can imagine. Purpose-built devices are a dying breed, at least for the consumer-level use, and particularly in the case of the Kindle.

Unfortunately, Bezos’ $9.99 price point is still too rich for my blood. I rarely buy books at that price, and for the new releases I’ll splurge on, I want more than a restrictive file format to show for it. As Amazon’s eBooks get more popular and become available on more devices I know prices will go down, but I doubt Amazon will loosen restrictions.

With the release of the Kindle DX, plenty of folks have been asking the same question: will you get one? For me, the answer is no. I like the feel of a physical book in my hands too much to let a Kindle take its place. I also love used book shopping, where I can pick up classic (and sometimes new) titles for less than a buck.

It was this post over at Crave that really made me wonder, what would it take to get me interested in a Kindle? For me that question has a simple translation. When is it more convenient to have a Kindle than a book? The Kindle doesn’t have enough features outside book reading to make it compelling for reasons other than book reading, so I’m going to ignore them. For me, it comes down to convenience and the emotional experience I get from reading a book.

I like the reasons Stein gives for his own experience. Pulling a book out on the subway is much more cumbersome than flipping to the Kindle app on his iPhone. The appeal is the same in my life, but paying full book price for something I can only read on a Kindle or an iPhone seems ridiculous.

What I could really use is both – something like movie studios have been doing recently to attempt to combat downloads – adding a digital copy to the physical media. As it currently stands, downloading books from the Kindle store is incredibly restrictive, and if you lose your Amazon account, you lose your books as well. Offering an option to download the book when I purchase the physical media could change that, giving me control of the storage (and yes, distribution) of my media.

Obviously there are pirating concerns for Amazon, and they lose the sweet deal they have going now whereby they reap most of the profit from selling digital copies. It’s hard to imagine, though, that they wouldn’t see increased usage from this sort of change. The iPhone Kindle App becomes a lot more appealing when it means I can continue my reading without lugging a book around but still have the option to kick back and fill margins with notes when I get the urge.

For now, a Kindle is the wrong device for me. I can’t help but think I’m paying a fee to relinquish control of my purchase, and that just doesn’t feel right.

As soon as the Kindle hit the market, people started talking about a full color version, but according to Jeff Bezos, they’ll have to wait. Years. He can’t say how many.

I’m not entirely surprised. The e-ink screen technology doesn’t directly adapt to a color format, which means developing a new display medium for the device. We all know how long that can take. Most concepts for such a display are just that: concepts. Perhaps the best one from Philips is still FAR from production, particularly in something like a Kindle.

Bezos has also reconfirmed that Amazon will not release any specific sort of sales numbers for the Kindle. It’s obviously not because they don’t care. I guess they just don’t want us to know.

As far as books are concerned, I’m a bit of a luddite. I don’t want a Kindle. I will likely never want a Kindle. I like the feel of books. I like having a shelf for my books. I like to mark up the pages with all sorts of stupid comments. And though I understand the eco-friendly features of ebook readers, I think recycled paper and alternative mediums (hemp, Family Guy fans?) can help assuage some of Mother Earth’s bruises.

Blackwell’s Espresso Book Machine throws digital media to the wind, opting to print hard copies of books from a database including 400,000 titles, right on the spot. The machine is designed around getting out-of-print books into the hands of readers, or keeping up with stock demands on hot sellers. The machine also allows users to come with a CD of their own work and have it printed a bound on the spot – not a bad deal for aspiring authors.

Source: Daily Mail

As I mentioned in an earlier post, I had fairly trusting parents as a kid. They were in touch, aware of the nuances of my youthful existence including my strongest likes and dislikes. The unfortunate side effect here was an exacting system of punishment should I stray too far from the path of reason. I spent plenty of time grounded, relegated to my room with a few cleaning projects and a stack of books to keep me busy. Even at my worst offense, though, my parents never considered taking the books away.

That’s exactly the type of punishment you’ll receive if you lose face in the eyes of Almighty Amazon. Get your account suspended and you lose the ability to manage your ebooks and worse, buy new ones. An Amazon user named Ian recently had his account suspended for too many returns and subsequently found his Kindle had been crippled. The ownership (or lack thereof) concerning Kindle titles and books for other electronic readers is old news, but this is the first we’ve seen a company dole out extraneous punishment for account-level offenses. Ian has since had his account reinstated but with one major caveat: screw up again and it’s no books for you!

Source: MobileRead

Amazon.com has followed up their revolutionary e-book reader, the Kindle, with a slightly more revolutionary e-book reader called the Kindle 2. Why do I say slightly more? Because not much has changed. At least not enough to satisfy the average book reader.

There have definitely been a few improvements. Things like longer battery life (~25%), increased storage (from 256MB to 2GB – or about 200 books to 1,500 books), and a smaller all around frame won’t disappoint anyone. Also, better placement of the page turning buttons will make everyone happier. Accidentally turning the pages was complaint number 1 for the first generation Kindle. The final addition worth mentioning is the text-to-speech capabilities.

Read-to-Me Feature
With the new text-to-speech feature, Kindle can read every newspaper, magazine, blog and book out loud to you, unless the book is disabled by the rights holder. You can switch back and forth between reading and listening, and your spot is automatically saved. Pages automatically turn while the content is being read, so you can listen hands-free. You can choose from both male and female voices which can be sped up or slowed down to suit your preference. In the middle of a great book or article but have to jump in the car? Simply turn on Text-to-Speech and listen on the go.

Even with all those improvements, I still am hesitant to recommend the Kindle 2. I can’t get over the price. $360 makes the Kindle 2 quite an investment. Especially when you consider books are going to set you back another $10 a piece. And since all media on the Kindle 2 has DRM protection, there’s no way around paying that $10 every time. Last time I checked, my public library was free.

My recommendation: Try before you buy. Find a family member or friend who has one and ask to borrow it. You had better love this thing before making such an investment. So, even with all the improvements, the Kindle 2 is not yet on my recommended list.