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That's doomed for failure. Most personal gadgets today are more design-oriented and less function-oriented. Inventing something practical is only a fraction of the battle in today's marketplace. E-Book readers have been done over and over again and they never take off because no one is willing to pay that much for a gadget that looks like it came out of the 1980's.
If you want to make an E-book reader that sells, it needs to be (a) completely touch-screen with page turn animation -- meaning that if you brush the page with your finger, the page "turns" like a book but with animation, (b) very durable -- one of the big advantages to books is that outside of being burned or thrown into a lake, you can basically beat the hell out of them and (c) cheap -- people who read enough books that an E-book reader would be practical mostly shop for used books. Considering used books are in the $2-10 range, the book prices aren't much different but the consumer has to shell out $400 for the reader. Just not worth it.
Think about this: for $400, you can basically get a cheap laptop that does everything the E-book reader does but a hell of a lot more. Then I can DL PDF's illegally for free. It isn't worth it. Hell, I would rather get an iTouch, load a PDF viewer and read them that way (which I do with my iPhone.) That's still less than $400 and comes with mp3 player, video player, and web browser.
Besides, Amazon has very little competitive advantage here. Apple could probably throw a slick-designed touch-screen E-Book/PDF reader together that holds 1GB (aka a shitload of books) for less than $100. And they would make a much better product than Amazon.
It's just a bad, bad business decision on the part of Amazon IMO. They would have been better off partnering with Apple, letting Apple build the hardware, and simply specializing in providing the E-Books through iTunes. It exploits their competitive advantage, would require little capital outlay compared to building hardware devices and would cement themselves as the only major E-book provider for years to come by piggy-backing on the Apple gadget phenomenon.
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"You don't require a high IQ to attend an ivy league college. You DO require a high IQ to graduate community college." - mikeyD
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