Trends Report

Amazon's Kindle Won't Ignite The E-Book Market

Why The Retailer Should Make And Market It Anyway

December 12th, 2007
James McQuivey, PhD, VP, Research Director
James McQuivey, PhD VP, Research Director
With contributors:
April Lawson , Ellen Daley

Summary

Just in time for the holidays, Amazon.com announced its first consumer electronics device, the Kindle, a wireless e-book reader jam-packed with innovation. We love the device but hate to break it to Amazon that it will be lucky to sell more than 50,000 units in its first year. At $399, the price is too high, but more importantly, the Kindle solves problems that publishers and retailers have, not problems that readers have. Nevertheless, we think Amazon has made the right move by planting its flag in the e-book reader space now, so that when flexible e-book readers are a reality, Amazon can lead rather than follow.

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