The price war in the eReader space is getting more

Amazon has launched a revamped Kindle DX – the high end
version of its eReader – with a marked 50 percent improvement in its display
contracts and a significantly lower price – $379. That’s a $110 drop.

It’s the latest move in the growing battle for consumer's
attention. Barnes & Noble kicked things off last week with the introduction
of a $149 WiFi only nook. Amazon quickly responded, dropping the price of the original Kindle (which retains its 3G capabilities) from $259 to $189.

The DX is a large screen reader – boasting a 9.7 inch
viewing area, versus the 6 inch screen on other readers and an expanded memory
capacity, allowing it to hold more than twice as many eBooks.

The revised DX will begin shipping July 7, with pre-orders
beginning immediately. (Older models of the DX have also had their price
reduced to $379, which is a bit surprising as you’d expect Amazon to offer
those for a bit less to clear the channel.)

The price cuts will put the various Kindle versions (as well
as the nook) in a sweet spot for consumers and will likely make them even more
of a must-have this holiday season. But both products remain under significant pressure
from Apple, whose iPad (and included free iBooks app) is a retail smash and
proving to be a viable threat to the eReader marketplace. 

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