E-reader Price War

I happen to be the proud owner of a first generation Kindle. I find that I can read for hours without my eyes getting tired, longer than with a real book and much longer than reading off a screen. With the advent of the iPad, many people have been wondering if e-readers are dead; the iPad, with its backlit screen, is infinitely inferior to a dedicated e-reader for reading, but better at everything else.

Now, e-readers are firing back: Borders just introduced their Kobo, which prodded Barnes & Noble to drop the price of the Nook and Amazon to drop the price of the Kindle 2.

Why is this good news? The Kindle’s new $189 price point puts it less than $40 above the estimated $150 sweet spot where e-readers should really take off. And I see more people reading more books as a good thing.

One issue with e-reader usability is that so far the screens are black and white only, which makes using certain books difficult; color screens are under development but are not expected to be released in the near future.

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