Consumers Set To Benefit From Strong Competition In The E-Book Market
Sunday, June 13th, 2010Right now there are a huge number of manufacturers competing in the nascent, but rapidly growing, e-book reader market. The competition level is a clear signal that high growth is predicted in this sector. And this strong competition is going to be good for consumers as manufacturers fall over themselves to improve specifications and offer lower prices.
There is an impressive list of major manufacturers with e-book readers in various stages of development – and in some cases, ready for imminent release. Sony, Asus, iRex, Plastic Logic, Barnes and Noble – not to mention Microsoft and Apple – are all lined up and jostling for their share of the market.
There’s little doubt about the current market leader. The Amazon Kindle reader has not only dominated the market, but has been pivotal in its development since it was launched in November 2007. Now into its second iteration with the Kindle 2 and the large screen Kindle DX, Amazon has secured a 60% share of the American e-book reader market. The Kindle reader is now their number one product and, on October 19 this year, after what seemed like a long wait, they started shipping the international Kindle 2 to over 100 countries worldwide. When you think about it, iIt’s a backhanded compliment to Amazon that every new e-book reader in development (and theres no shortage of these, the list above is hardly exhaustive) and which shows any promise whatsoever, is immediately dubbed the “Kindle Killer”. At the moment the Kindle is the standard which must first be matched, and then exceeded, in order to assure success.
Just in case anyone thinks that the Kindle’s current leadership position is bordering on unassailable, it’s probably worth remembering that Amazon were a late entrant to the market when the Kindle was launched. The first e-book reader is generally held to be the Franklin eBookMan which launched in 1999 – a decade ago. The Sony PRS was also available prior to the Kindle’s 2007 launch.
The Kindle’s success for Amazon came about as the result of a number of factors. First of all, Amazon had a strong association with books, being among the largest online retailers. They also had a huge selection of suitable books for download – currently you can choose from over 300,000 titles at the Kindle store. The option of wireless connectivity – with no ongoing fees – was another big selling point.
Just as Amazon came from nowhere to secure the number one position, one of the other contenders could do exactly the same - and in the short term. Barnes and Noble, for example, have over one million titles which will be available for download to their new Nook e-book reader. They will also adopt the ePub format – which many readers under development seem to favor. The format used by the Kindle is proprietary. Pick a Kindle book – read it on your Kindle.
The Nook will also allow you to “lend” books to your friends and family for a fourteen day period. During the loan period, the borrower will be able to read it and the lender will be unable to use their Nook to access it – just like borrowing a “real” book in fact. The only difference is that you will be sure to get it back.
The latest Sony reader – the Sony Daily Edition – is going to have a large display format, just like the Kindle DX, but unlike the DX it will have touch screen control functionality. It will also permit users to download e-books on loan from participating public libraries. Again – just like a proper book.
The other readers in development generally incorporate features that may well make them more appealing than the Kindle. Amazon have a fight on their hands – and it seems sure that they won’t relinquish their top position without a fight. Given their innovating role in the development of the market thus far, and considering the importance of the Kindle ebook reader to their business, it seems reasonable to expect them to have a few new ideas yet to be unleashed.
At the end of the day, given the level of activity amongst all of the various manufacturers, it looks as if the e-book reader market is about to start growing even faster. Let’s hope that the fierce competition that is currently unfolding will drive down far enough enough to move e-book readers out of the geek domain and into the mainstream personal mobile tech market.