Today's news is about Amazon's announcement of their first eBook reader, code-named Kindle. The $400 device offers a black and gray reading experience in a relatively small package--all connected to the Internet via EVDO. The device supposedly is set to last 30 hours on a a single charge, which gives plenty of reading time.
Unfortunately it sounds like the device is going to be rather closed from a content standpoint. You'll have to pay $9.99 per book and $1 to read a handful of select newspapers and blogs each month. Ah, the old subscription model. Here we go again.
Like the UMPC before it, the trick I think to get these devices off the ground is to offer packages--not just devices. Unfortunately the UMPC didn't take this route and was sold al a carte. Sounds like the Kindle is taking the same approach: Here's your hardware; pay for it and then buy some content when you have time. Nope, that's not the way to sell these devices to the mass market. Instead, give me a perceived good deal. Sell the books at $2 each--down at the book club rate. Provide bundled content that inspires when you first turn on your new purchase. Give access to already free online content. And above all make sure the first time experience is top notch.
I haven't seen one of these devices yet, but I'm quite curious to give one a go. I doubt I'll buy one though. I'd rather put the $400 into an Eee or an XO and see what apps I can write for them.
I think Jeremy Toeman is correct. Amazon will be fortunate to sell $50K of these in a year, but the number is reasonable. I hope they do it. It wouldn't give earth shattering revenue, but it might just be enough to keep their feet in the water and iterating on the concept. Then eventually they might hit upon a device that really sells well.
The Kindle, I'm guessing, is not going to get the Chumby love at this stage--except for heavy readers. Hopefully that'll be enough to keep it going, but I'm not too sure.
Maybe things will change once people get their hands on them. It might depend on how closed they are.


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