As a lover of reading and also technology (especially wireless), I have been eagerly following the launch of Amazon’s new $399 electronic book reader, Kindle (see below), and its associated services.
I’ve read all the information and watched the videos about the Kindle on Amazon’s site (Amazon has done a very nice job publicizing it) as well as reading many of the reviews online and videos (check out the video by James Kendrick and the videos here and here by Robert Scoble.)
I wrote an article about the Kindle and the future of electronic books that is slated to be published next Monday (November 26) for my “Thinkernet” columns on CMP’s “Internet Evolution” Web site.
The wireless advantage
One major distinguishing feature of the Kindle is its built-in 1xEV-DO modem on Sprint’s cellular network. Amazon says a book is typically downloaded in less than a minute over EV-DO.
The EV-DO capability is “free” for Amazon services, such as accessing the company’s Web site and downloading publications. The price is part of the cost of the Kindle.
However, the Kindle also incorporates a basic Web browser, and it’s not clear whether all EV-DO access will be free or whether Amazon will begin charging airtime fees for certain applications, such as browsing non-Amazon sites.
The new economics of journalism
I discuss the tremendous value of wireless in my upcoming “Thinkernet” column, including the ability of publications — newspapers, magazines and even weblogs — to be pushed automatically via cellular. These pushed updates require monthly subscriptions.
So, to discuss another wireless tie-in: The entire journalism community — newspapers, magazines, newsletters and radio and television stations — has been desperately trying to develop new business strategies as the result of the economics (or lack thereof) of the Internet.
Increasingly we’re seeing wireless-related newsletters and magazines reducing the number of pages, decreasing the frequency of publication, moving exclusively to the Web, becoming entirely advertiser-supported or ceasing publication. Many paper-based newsletters that used to charge $500 per year and up are stopping publication or moving to an advertising-only model.
Exploring Kindle’s opportunities
I was thinking, what if the wireless newsletters that are now free, such as those from Fierce Markets, Unstrung and Tech Wire, would approach Amazon about offering their content for the Kindle? Even if they charged a very minimal amount, say $1.99 a month, it could be a good marketing strategy.
There certainly is a convenience factor in automatically transmitting publications — just like a newspaper is delivered in the early morning — and Kindle users being able to pick up the device and begin reading immediately.
Of course, newsletters that still charged premium prices could charge subscription fees for Kindle. The newsletter companies would be crazy, though, not to offer significant discounts for Kindle downloads. Subscribers will expect it.
Gotchas
One possible “gotcha” is whether Amazon will begin charging users to access the links to articles included in these newsletters. There are lots of links in many of the newsletters.
Check out the “Wireless Connectivity” section for Kindle’s “License Agreement and Terms of Use.” Amazon says, “Amazon provides wireless connectivity free of charge to you for certain content shopping and acquisition services on your Device. You will be charged a fee for wireless connectivity for your use of other wireless services on your Device, such as Web browsing and downloading of personal files, should you elect to use those services.”
The bundled Web browser is accessed under the Kindle’s “Experimental” menu. Perhaps if it moves from “Experimental” to “Commercial,” you’ll have to pay additional fees.
In addition, I don’t know what costs are involved in converting publications to the Kindle AZW format.
Regardless of the problems, the future (indeed, the present) of publications is digital.
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