It seems that in one day we not only get a drop in price for the Barnes & Noble(NYSE:BKS) nook, one of the front runners in the eReader device marketplace, but an immediate reaction and one-upping from Amazon(NASDAQ:AMZN).

As already reported, the nook has undergone a steep drop in price from $259 to $199, as well as welcoming a new member to the product family: A WiFi only model at a mere $149.  In response, Amazon has cut the price of their ever-popular Kindle from $259 to $189 in what can only be seen as a direct and hostile response to B&N’s move.

One of the main sources for concern lately among critics has been the pricing of these devices.  While always a reasonable investment for the avid reader, some have had trouble justifying the expense of the more popular and full-featured of the eReaders such as the Kindle and nook.  This is quickly becoming a non-issue. The Kobo made its splash by setting an amazing new low price for the market and mere months later we have one product with a more robust support list and feature set being offered at the same $149 price, and the most popular and well-supported eBook reading device on the market today for just $40 more.   There is simply no excuse anymore not to own one.  Amazon and B&N are in a price war and the only one winning is the reader.

It appears that not only were the rumors from a few months ago about a WiFi only version of the popular Barnes & Noble(NYSE:BKS) nook true, but that the price wars have had an effect.  The new nook comes to us at a mere $149, which, as far as I know,  makes it the first eReader at that price to have wireless connectivity. The exclusion of the 3G coverage changes very little about the device beyond making it half an ounce lighter and being signified by a back cover in white instead of gray.

At the same time as this release, we see a drop in the price of the full-featured nook model to just $199.  Considering B&N has managed to provide a good deal of competition for the market leading Kindle even when they shared a price point, these options could well give them a short-term edge until Amazon(NASDAQ:AMZN) manages to get out the thinner, wirelessly compatible model being talked about for this fall.

On top of the new release and price cut, current owners of the nook eReader will be pleased to note the v1.4 software upgrade released today.  Most importantly, for travelers wanting to go for the new nook model, it adds free and seamless connectivity to all ATT(NYSE:T) hotspots around the country.  The included additional large font size is likely a useful option for many as well.  Finally, and my favorite feature of the list, 1.4 adds in a “go to page” feature, which allows for better and more precise navigation of eBooks.  This is especially important when reading a poorly constructed eBook across two devices since the B&N software does not track what page you last read back to your nook, nor do many free books have working chapter bookmarks.

All this makes August even more vital for Amazon.  It’s going to be interesting to see what they come up with to jump to the front again.

This Thursday, perhaps a little behind the crowd but better late than never, Barnes & Noble(NYSE:BKS) put out their very own eBook Reader application optimized for the iPad.  The impact has the potential to be greater than one might expect at first glance, especially given the unexpected success the chain has had in marketing their nook eReader device against the more established Kindle.

The big selling point, from my point of view, is the extensive customization of the reading experience available to the user.  There are several premade themes for you to choose from, including fairly ideal settings for nighttime reading.  You can also make your own reusable themes by adjusting font size(10 available), font style(5 available), background and foreground colors, margin sizes, text justifications, and link coloring. Dictionary integration isalso  mentioned, which is fairly useful sounding.  The LendMe feature that B&N is becoming known for is intact in this reading application and users will be able to lend books directly from the iPad.  Page turning should be intuitive for most users, with simply a tap or swipe doing the job. In general, all the features we’ve come to expect and desire out of software like this and a few nice little additions.

While I would ideally like to see integration with the nook device, at least to the point of syncing up the last-read page in a given book, that’s still not to be found so far.  You do, however get integration with the PC app that will allow notes and progress to be saved between devices.  Overall, I’d say it’s a great offering and worth checking out if you happen to have an iPad that you like to read on.

After years of Amazon’s dominance in the self-publishing ebook marketplace, Barnes & Noble(NYSE:BKS) has decided to enter the scene.  Eligible independent publishers and self-publishing authors will be able to add their content directly into the BN.com and Barnes & Noble eBook Store Catalogs, giving them immediate exposure to one of the largest electronic book marketplaces on the net with all the perks already built in.  Books published through this PubIt! system, as it is called, will be accorded the usual digital rights management one would expect out of Barnes & Noble, an industry standard ePub format for distribution, and a presence accessible through any of B&N’s many platforms including the nook eReader and their many computer-based software and cellular downloads.  While there has not, as of yet, been any discussion of what the royalty model will be for these publishers and authors, there have been assurances that it will be competitive and simple to use and understand.

Make no mistake, this isn’t a groundbreaking new technology or idea.  It does, however, bring Barnes & Noble in line with Amazon(NASDAQ:AMZN) as they attempt attempt to secure their place alongside or even ahead of the Kindle and its ever-growing pressence in the ebook market.  Sure Amazon got there first, but who will make it most worth their authors’ while as time goes on?  More options have to be good for the lesser known names out there.

Nook

In March 2010, the Nook surpassed the Kindle in sales.  So much for all of that hype around the iPad being such a fierce competitor for the Kindle.  The Nook is Barnes and Noble’s e-reader that includes a selection of over a million titles from Barnes and Noble, as well as books from outside resources such as Google Books.  It was launched at the end of November, 2009 with fantastic sales.  Such early competition from the Nook is surprising considering that the initial release was flawed.  Shipments were delayed and the reviews at the launch were mixed.  There were reports of viruses in the e-book downloads.

Apparently, the kinks from the initial launch have largely been ironed out. According to an article from Digital Trends, out of the 1.43 million e-book readers shipped, 53% were Nooks.  This is good news for both the Nook and Kindle, because it means that the e-book reader market is really taking off on a global scale.  The Kindle still holds its status as the veteran of the e-book reader market.  E-book reader sales are projected to quadruple from 2009 to 2010, from 3 million to 11 million.  Threatened by competition from the Nook and the iPad will hopefully push Amazon to make changes suggested by users and experts to the Kindle, such as price cuts and faster screen reaction times.

A big question is whether the Kindle, Nook and iPad will target different sections of the market or whether they will all be vying for the same group of people in the long run.  Either way, competition is heating up and the makers of e-book readers will be on their toes.



One of the things that B&N has been advertising since the nook first debuted is an enhanced in-store experience.  With the recently released 1.3 patch, they’ve really delivered.  Here’s how it works:

1. Take your nook to any B&N store and get access to the store’s hotspot.
2. Open up the nook’s store browser and find a book you’re interested in.
3. Select your book and choose the “Read in Store” option from the menu.
4. Enjoy!

It’s ridiculously simple and works for every last book in their ebook catalog.  You get an hour per book per 24-hour period, so you’re not likely to see your way through to the end of a book in a single sitting, but there seems to be no daily limit on number of books per day or number of days per book.

I don’t claim to understand the business model, but it’s certainly fun.  I anticipate many a lunch break around the country being spent in the local Barnes & Noble cafe.  Whether you’re reading a bit at a time or previewing that new release you were on the fence about, you can’t really go wrong.  It ties the nook device into the physical store better than anything else I could think of.  I would really love to see something like this coming from the Kindle, honestly.  It’s a neat feature that’ll give the nook a huge advantage should it catch on.