Wall Street Wonderland

The good, the bad and the unspeakably ugly and everything in between, so help us!

Thursday, September 06, 2007

Envisioning the Next Chapter for Electronic Books

Don't hold your breath....

Tech evangelists have predicted the emergence of electronic books for as long as they have envisioned flying cars and video phones. It is an idea that has never caught on with mainstream book buyers.

Two new offerings this fall are set to test whether consumers really want to replace a technology that has reliably served humankind for hundreds of years: the paper book.

In October, the online retailer Amazon.com will unveil the Kindle, an electronic book reader that has been the subject of industry speculation for a year, according to several people who have tried the device and are familiar with Amazon’s plans. The Kindle will be priced at $400 to $500 and will wirelessly connect to an e-book store on Amazon’s site.

That is a significant advance over older e-book devices, which must be connected to a computer to download books or articles.

Also this fall, Google plans to start charging users for full online access to the digital copies of some books in its database, according to people with knowledge of its plans. Publishers will set the prices for their own books and share the revenue with Google. So far, Google has made only limited excerpts of copyrighted books available to its users.

Amazon and Google would not comment on their plans, and neither offering is expected to carve out immediately a significant piece of the $35-billion-a-year book business. But these new services, from two Internet heavyweights, may help to answer the question of whether consumers are ready to read books on digital screens instead of on processed wood pulp.

“Books represent a pretty good value for consumers. They can display them and pass them to friends, and they understand the business model,” said Michael Gartenberg, research director at Jupiter Research, who is skeptical that a profitable e-book market will emerge anytime soon.

“We have had dedicated e-book devices on the market for more than a decade, and the payoff always seems to be just a few years away,” he said.

Sony will not say how many it has sold, but the Reader has apparently done well enough that Sony recently increased its advertising for the device in several major American cities.

http://www.nytimes.com/2007/09/06/technology/06amazon.html?ref=technology

0 Comments:

Post a Comment

<< Home