Some people have argued (Micah Bowers of Bluefire for example) that dedicated devices will go the way of the dodo bird and I’ve always disagreed. Seeing the rise of the affordable Kindle Fire, however, is making me wonder if Micah Bowers et al is correct.
E Ink Holdings reports first loss in 10 quarters | The Verge – “E Ink, the company behind the e-paper display in your Kindle and Nook, is reporting a loss of NT$787 million (around $27 million) in Q1 2012, with net sales falling 53 percent on Q4 2012 to NT$3.84 billion (roughly $131 million). It also saw its gross profit margin fall to just 0.8 percent as compared to 28.5 percent last quarter, owing to under-utilization of its manufacturing facilities and a shift to lower-margin LCD panels.”The Verge
Tablet Competition Heats Up: Kindle Fire Captures more than Half of Android Tablet Market – comScore, Inc – “The Kindle Fire, introduced to the market in November 2011, has seen rapid adoption among buyers of tablets. Within the Android tablet market, Kindle Fire has almost doubled its share in the past two months from 29.4 percent share in December 2011 to 54.4 percent share in February 2012, already establishing itself as the leading Android tablet by a wide margin. Samsung’s Galaxy Tab family followed with a market share of 15.4 percent in February, followed by the Motorola Xoom with 7.0 percent share. The Asus Transformer and Toshiba AT100 rounded out the top five with 6.3 percent and 5.7 percent market share, respectively.”comScore
Amazon Media Room: Press Releases – Amazon’s quarterly results show increase of operating cash flow by 1% and a decrease in free cash flow by 39%. Net sales are up 34% and net income was down 35%. Amazon now has 130,000 titles that are exclusively sold at Amazon.com including 16 of the top 100 bestselling titles.
Second Quarter 2012 Guidance
Net sales are expected to be between $11.9 billion and $13.3 billion, or to grow between 20% and 34% compared with second quarter 2011.
Operating income (loss) is expected to be between $(260) million and $40 million, or between 229% decline and 80% decline compared with second quarter 2011. Amazon
April 27, 2012, 7:51 a.m. ET UPDATE: Pearson Sales Rise But Sees Lower Half-Year Profit – “Pearson’s revenue is up 12% … But the company is making inroads in the online learning space, forecasting in February that digital revenue is expected to overtake revenue from its traditional publishing operations this year, but it stopped short of providing specific figures. Pearson said Friday its education business, which accounts for more than 60% of its earnings and sales, ‘made a good start to the year.'” WSJ Note: Pearson is the parent of Penguin
Things learned and thoughts provoked by London Book Fair 2012 – The Shatzkin Files – “I got a chance to visit with Charlie Redmayne of Pottermore. … He had to be able to sell to any device; he wanted to be able to allow any purchaser complete interoperability. There was no way to do that and maintain DRM…I heard a rumor from a very reliable source that two of the Big Six are considering going to DRM-free very soon. The rumor is from the UK side, but it is hard to see a global company doing this in a market silo. Another industry listener I know was hearing similar rumors from different sources” Idealog
Jane Litte is the founder of Dear Author, a lawyer, and a lover of pencil skirts. She self publishes NA and contemporaries (and publishes with Berkley and Montlake) and spends her downtime reading romances and writing about them. Her TBR pile is much larger than the one shown in the picture and not as pretty.
You can reach Jane by email at jane @ dearauthor dot com