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Posts Tagged ‘New York Times’

Apple Tablet? Image: Slashgear.

Apple Tablet? Image: Slashgear.

In an article today the NY Times positioned the new device Apple is expected to announce tomorrow as the last hope for old media. The article also revealed some details about the device that had previously only been rumor.

Quoting “analysts and others who have been briefed on the device” the Times laid out the following:

– Persistent wireless connection over 3G and WiFi

– 10 inch color display customized for “newspapers, magazines and book publishers”

– It will run all current iPhone and iPod Touch applications  (which would suggest some form of the current iPhone OS running on the device)

– Quoted EA as saying: “Big media companies should be all over this like a cheap suit”

– NY Times is building a version of its newspaper for the tablet already

– Apple will market it not just as a way to read news, books and other material, but also a way for companies to charge for all that content through iTunes

– The Times has considered this an important enough device to create a special segment called “Reader Applications” for it with Yasmin Namini as head

Some interesting quotes: “Steve believes in old media companies and wants them to do well” but also “This opportunity, however, comes with a sizable catch: Steven P. Jobs”

Anyway, we only have a day to wait for the announcement: tomorrow should be exciting!  I for one am hoping for something a lot better than just a gigantic iPhone.

Outside of the NYTimes the rumor mill is still churning:

One strong rumor is that Barnes and Noble will be the book provider for the tablet, and this has Barnes and Noble stock going through the roof today. After B&Ns recent attempts to defraud the consumer, I hope this one is NOT true. Partner with the kindle store! please?

Also, apparently Verizon is the provider of choice, hmm.

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Wow.  It wasn’t too long ago that we were talking about the Kindle DX as a newspaper savior but it seems  like Amazon has other plans.

Dallas Morning News CEO James Moroney told a Senate subcommittee that the Kindle isn’t a “platform that’s going to save newspapers in the near term.” Moroney said that Amazon wants 70% of subscription revenue from newspapers, and also requires content owners to give Amazon the right to republish content to other devices.

That is a BIG ask. Even Apple takes only 30% of app store revenue.

The only reason that newspapers liked (or I thought they liked) the Kindle was because it helped them take out a large portion of the distribution cost and offer papers at a lower price to consumers (i.e. get more subscriptions, more updates, cheaper).

However, if Amazon is asking for 70% of revenue it would basically replace the current distribution + retail markup costs with the “Amazon fee” basically bringing newspapers to status quo.

But when you really think about it, its far from status quo because, newspapers make money on Ads on the paper version while the kindle newspapers have no ads (at least the current Kindle 2 versions), therefore Newspapers are substituting higher revenue paper customers with lower revenue kindle subscribers.

This explains why the NYT chairman during the press conference yesterday labeled this as an “experiment” and said that discount subscriptions will only be available in areas where the regular paper edition delivery is currently not available.

All this makes no sense to me. It seems really short sighted on Amazon’s part. Maybe they will come around as they realize that these economics don’t work for Newspapers.

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kindle-dx-2[UPDATE: Analysis of why the Kindle DX might be perfect for business school here]

In a news conference today, Amazon announced a larger screen kindle that will also have several partnerships with universities and newspaper companies.

Available for pre-order NOW for $489. No delivery estimate yet except that it is Summer 2009, but apparently sometime soon.

Jeff Bezos started with some general info about the Kindle.

Kindle has available 35% of all books that Amazon sells and they have added 45,000 new books in the last 3 months. They’ve started at the head (with the books people actually want to read) vs. the free / out of print books that others have added.

kindle-dx-3Features:

The display is 2 and a half times the size of the Kindle 2. Built in PDF reader, no need to pan, zoom, scroll etc.

9.7-inch display with auto-rotate, 3G wireless, 3.3GB of storage, native PDF support, $9.99 or less NYT bestsellers, no wireless contract

Auto Rotate: Automatically switch between portrait and landscape modes.

Kindle DX has reached agreements with three leading textbook publishers: 60% of higher education textbooks will be covered. Pearson, Cengage Learning and Wiley.

kindle-gizmodo

Idea is to have students with smaller backpacks, less load, easier access.

Schools trialing the device: Arizona State, Case Western, Princeton, Reed College, UVA – Darden

Kindle device trials with New York Times, Washington Post, Boston Globe – beginning this summer.

NYT, Boston Globe and San Francisco Chronicle are on board: they will offer reduced prices with long-term subscription commitments.

NYT chairman Arthur Sulzberger Jr. called the Kindle DX an “experiment” and made a remark about offering discounted kindle plans where paper delivery is not available: haa..

There were also some hiccups when the camera kept showing a unreadable mirror image of the kindle on the screen for a while.

I know this is very expensive (I was hoping a device in the same price range as the Kindle 2, but that’s probably wishful thinking). I have been waiting for this for a while, my pre-order is in! The $49 case seems like a LOT though.

Anyone else think this is the perfect way to keep all the course documents and cases organized with hopefully some heavy discounts on business school texts?

kindle-hands-003

Images and information courtesy of Engadget and Gizmodo.

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