Amazon lowers the price of Kindle 2 by $60
July 11, 2009 at 03:07:14 AM, by Kevin Gilbert
Amazon has lowered the prices of Kindle 2 by 17 % to take it down to $299 from $259.
This might create a competition in the E-Book market as the prices of Kindle 2 are now on par with the other E-Book readers which offer far less features and compatibility.
According to reports, the price decrease is due to an increase in manufacturing volume and a decrease in production costs. However, such a price reduction was not visible in the first generation Kindle. It might even be a strategic decision for Amazon to bring the prices down in order to become a leader in the E-Book market, especially as more and more competing models are emerging.
The main rivals of Amazon kindle are the Sony Digital Reader PRS-700 being sold for $350 and the Sony Digital Reader PRS - 505 being sold for $280. The current price reduction places kindle 2 in the mid range of both of these products, while offering superior features.
Although the prices have reduced, they are still a bit high to appeal to the masses. But Kindle 2 is beginning to get competitors such as Interead Cool-er Books and Astak EZ Reader which might push the prices further down.
However, The E-Book reader faces threat of extinction as applications such as kindle for iPhone and smartbooks and other portable devices are coming soon.
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