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Amazon hacks $60 from the price of Kindle 2 reader

There have been e-book readers on the market for several years. The category didn’t get hot until Amazon began offering its Kindle e-book reader, which quickly become the most popular gadget that Amazon sold.

Earlier this year Amazon announced a new larger screen Kindle to replace the original called simply enough the Kindle 2. Amazon has not publicly stated exactly how many Kindle 2 readers that it has sold.

Amazon CEO Jeff Bezos has only said, "We're grateful and excited that Kindle sales have exceeded our most optimistic expectations."

This week Amazon has changed the price for the Kindle 2 reader dropping the cost of the device from the $359 that it launched at by $60 to a new price of $299. The Kindle 2 had several improvements compared to the original device including a longer battery life, more storage, and faster page turns.

The larger Kindle DX with its 9.7-inch screen retains the same $489 price tag that it had at launch. InformationWeek reports that book publishers are worried that Amazon might use the price cut as a way to squeeze profits on digital books. With several e-readers set to hit the market soon from other makers, the price cut is likely a way to help make the Kindle 2 more popular before the competition hits the market.




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