July 28, 2010

PC World
Amazon’s recent move to cut the price of Kindle e-reader to $189 to boost sales is apparently working. The online retailer announced Tuesday that the device was currently out of stock and no likely shipping date is currently listed on the Amazon website.

Dan Nystedt reports that the issue may be due to a shortage of e-ink screens for the dedicated e-reader. Nystedt writes that E Ink Holdings which produces the Kindle screen for Amazon, announced Tuesday that it is working to increase capacity, but declined to comment on specific devices or clients.

“…the supply problem could become a thorny issue because the Kindle e-reader faces its greatest challenge yet with the launch of the iPad, according to market researcher iSuppli. ‘The move by Barnes & Noble as well as Amazon to slash the prices of their eBook readers reflects a fundamental change in their business strategy intended to counter the rising competitive pressure from Apple’s iPad,’ iSuppli said.”
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