Amazon has announced today that more “next generation Kindles were ordered in the first four weeks of availability than in the same timeframe following any other Kindle launch, making the new Kindles the fastest-selling ever.” In addition, in the four weeks since the introduction of the new Kindle and Kindle 3G, customers ordered more Kindles on Amazon.com and Amazon.co.uk combined than any other product.

The new version of the Kindle started shipping to customers today, which Amazon says is two days earlier than previously announced. The fast growth of the new version of the Kindle isn’t surprising considering Amazon’s recent assertion that it sold three times as many Kindle books in the first half of 2010 as it did in the first half of 2009, with the Kindle continuing to be the number one product sold on Amazon. Amazon says the U.S. Kindle store now over 670,000 books. And the Kindle has reportedly been sold out until the fall.

Amazon announced the new, more affordable Kindle at the end of July. The updated version has a sleeker design with a 21 percent smaller body 15 percent lighter weight, 20 percent faster page turns, up to one month of battery life with wireless off, double the storage to 3,500 books, built-in Wi-Fi for the lower price of $139. The new Kindle 3G with all of these new features plus with free 3G wireless is $189.

Amazon also said today that the Kindle and Kindle 3G are the most gifted and most wished for products on Amazon.com and Amazon.co.uk combined. The company recently launched a UK Kindle store with more than 400,000 titles, looking to boost growth internationally. So far, customers in 125 countries on six continents have placed orders for the new e-book device.

Of course, while Amazon is touting the massive traction of the device, the company still faces competition from the iPad and even the NOOK. Of course, Amazon founder Jeff Bezos doesn’t seem too worried about the iPad. Bezos explained recently to Charlie Rose that with the Kindle, Amazon isn’t looking to “create an experience” — they want the author to create the experience. Bezos believes that this differentiates the Kindle from the iPad and and other devices. And there are those reports that the Kindle is outselling the iBooks store 60 to one.




Amazon: New Kindles Selling At Record Rates, U.S. Store Now Has Over 670,000 Books

Amazon continues its revamping of the Kindle line. Fresh off of big price cuts for the

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A day after Amazon made it abundantly clear it’s gunning for world domination in the e-reading space by lowering the price of the Kindle from $259 to $189 – following competitor Barnes & Noble’s decision to slash the price of its Nook e-reader down to $199 – chief executive Jeff Bezos sat down with Fortune’s JP Mangalindan for a fairly interesting interview.

One of the things Bezos talked about was the iPad, Apple’s tablet computer that is selling like hotcakes and unequivocally poses a genuine threat to Amazon’s burgeoning ebooks and ereader business (and, as some claim, to reading in general).

According to Apple, it’s already taken about 22% of the U.S. ebooks market, with iPad owners having downloaded some 5 million books in the first 65 days of the iBooks store alone.

But Bezos does not seem terribly impressed.

Here’s the key part of the interview (which you should read in its entirety):

Fortune: Obviously, the Kindle’s price drop was in response to Barnes & Noble’s price cut on the Nook. Did the iPad and its overnight success play a role, too?

Bezos: No. The iPad… I think there are going to be a bunch of tablet-like devices. It’s really a different product category. The Kindle is for readers.

Fortune: So far you’ve been capturing consumers. Amazon accounted for about 80% of all electronic book sales last year. How has it grown so fast, and can you keep it up?

Bezos: It’s hard even for us to remember internally that we only launched Kindle a little over 30 months ago.

Our strategy with the ebookstore is ‘buy once, read everywhere.’ If you want to read on your iPhone, if you want to read on your BlackBerry. We want people to be able to read their books anywhere they want to read them. That’s the PC, that’s the Macintosh. It’s the iPad, it’s the iPhone. It’s the Kindle.

His words ring true, because this strategy is visible in the field too.

We now have a Kindle reader app for Android phones, a Kindle app that includes fresh support for video and audio for the iPhone, iPad and iPod touch and versions for BlackBerry devices, PC and Mac computers via a desktop client and of course the company’s own Kindle, which Bezos says has been purchased by “millions”.

Furthermore, Amazon boasts more than 620,000 ebooks in its catalog, significantly more than Apple, despite the latter’s agreements with 5 of the 6 top publishers in the United States.

Finally, I think Bezos is right about the fact that there will be many tablet devices making their way to the market in the coming months and years (according to Forrester Research, there will be 59 million tablets in use by 2015) and that Amazon should be focusing on being able to shift ebooks on as many platforms as possible.

But does all that mean Bezos should be dismissing the iPad for being a different product?

Cross-platform ebook selling strategy aside, with the Kindle Amazon has stepped into the hardware arena, and the reality is price doesn’t always make the difference. The iPad can simply do a lot more than the most recent model of the Kindle can, and the next-gen iPad is undoubtedly already in the works.

ZDnet’s Adrian Kingsley-Hughes put it best when he wrote:

The problem with the Kindle (and Nook) is that it’s a one-trick pony. One-trick ponies are cool in an ecosystem where there are no other ponies doing tricks. Add more ponies doing more tricks, and the one-trick pony gets long in the tooth real fast.

Maybe Amazon’s problem is that the iPad really is a different product category?

(Image via TechCN)




Jeff Bezos On The iPad: “It’s Really A Different Product Category”

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You must have heard that the Nook and the Kindle, two of the world’s best-selling e-readers, have dropped their prices to below $200 — down to $149 for the Wi-Fi Nook and $189 for the Kindle. It’s bad news for e-readers that recently placed themselves at low price points to compensate for fewer features (like the Kobo I just reviewed), but of course good news for everyone planning on buying an e-reader soon. When I considered secondary features and the possibility of “bulk” e-readers, I concluded that these devices would survive but find themselves marginalized both in price and market share. That seems to be just what’s happening, though of course the tablet market is still emerging, and Google may have a few cards up its sleeve. The brief age of “premium” e-readers is ending.

What can you expect from the e-readers? Well, first of all they can and must cut the hell out of the price, and that’s what we’re seeing now.

Continue reading…




E-Readers Race To The Bottom As Tablet Market Solidifies