by Joel Naoum - May 5th, 2011
Easter has come and gone, and big things have happened in the world of ebooks! Sorry about that, couldn’t help it. That really is a big creme egg. Apologies for my lack of posts the last week or so, the unholy trinity of Easter, moving house and my special lady friend leaving the country for two months has left me with little time to keep you up to date. But rest assured, I’ve been keeping up to date – so I can hopefully fill you all in on the interesting tidbits that have been floating around the ebook blogosphere of late.
Amazon still doesn’t have a tablet but everything indicates it is on its way – perhaps even as early as this year. Quanta, a Taiwanese notebook manufacturer, has reportedly received an order for between 700,000-800,000 tablets that have been traced back to Amazon for delivery in the second half of 2011. Now, don’t take this too seriously just yet, these kinds of rumours are rife when it comes to companies like Amazon and Apple. However, there is other evidence. E Ink, the company behind the technology that powers the Kindle, Sony and Kobo readers, has announced that there will be no improved displays this year, which suggests that Amazon may not launch an update to last year’s Kindle 3. Amazon has also taken a commanding position in the Android operating system community (the OS that runs on the majority of modern smartphones manufactured today) by releasing their own version of an app store for Android devices. Unlike Apple’s iOS devices (iPhones, iPod Touches and iPads), any company can set-up shop on Android. Amazon are pitching their marketplace as a more curated (read: Apple-like) alternative to Google’s in-built and often chaotic Android Marketplace. Like Apple, Amazon has access to millions of credit cards and a very slick one-click ordering system. Along with the Kindle app, this puts them in an excellent position to launch a reader-centric easy-to-use tablet for readers who aren’t swayed by the single-function Kindle readers (but who don’t want to buy an iPad). Stay tuned for more news on this topic – definitely something to keep your eye on.
Apple seems to have relaxed their grip on the reins just a tad in their own App Store. News surfaced this week that Apple has struck a deal with Time in which they will allow use of their in-app subscription service (i.e. magazines that auto subscribe to new content) for free to existing Time magazine subscribers (that covers Time, Fortune, Sports Illustrated and others). Previously Apple had forced magazine publishers to charge a separate subscription for iPad readers, thus ensuring they were the ones to collect precious subscriber information and a 30% slice of the revenue. It’s too early to tell if this reflects on a general loosening of the restrictions on content publishers in the App Store – but we should all keep our fingers crossed.
The Association of American Publishers released figures suggesting that of all trade books sold in February 2011, ebooks were the highest sellers. The surge has been attributed to recipients of Christmas e-readers stocking up on reading material, but it’s still a great result for ebook enthusiasts. Regardless of how the AAP reached this figure, it’s now impossible to deny that ebook sales are moving faster than most industry insiders had estimated (at least in the US). This was followed by the announcement by Hachette (one of the oft mentioned Big Six US publishers) that ebooks now account for 22% of the US arm of the company’s revenue.
Closer to home, our very own Booku has announced that despite expectations that they would lose money in the first twelve months they already have a positive cash flow. Ebook sales are startlingly good for a new start-up in this space – proving that there is an appetite for ebooks sold by Australian retailers.
Well, that about covers the major developments of the last couple of weeks. Stay tuned for more regular posts. Same bat-time (or a series of other similar times), same bat channel.