When I saw the headline, “Barnes and Noble offers 30 free e-books to switch to Nook” I thought, oh yeah, now we’re talking. When you are competing with the industry leader who has a stronghold on the market, you need to do something pretty dramatic if you’re going to get a leg up. Giving 30 free e-books to switchers would have been just the kind of bold, ballsy move that could have changed the tide, at least a little. Alas, it turns out Barnes and Noble isn’t that gutsy after all and this promotion isn’t going to do a damn thing. The 30 free books, you see, are chosen by Barnes and Noble and span a wide variety of titles from cooking to history to fiction. Great, you gave me 30 books, of which if I am lucky I might be  interested in one or two. They claim it’s a $300 value. Some value.

You see, the real problem is if I already have an Amazon Kindle, I have all my books already stored there. I don’t have access to them on the Nook and this creates a nice lock in for Amazon. Now if you allow me to take 30 of my favorite titles over, and make it even better, the rest of my titles for a nice discount price, you will be able to generate switchers. What would this cost Barnes and Noble? Plenty to be sure but what’s the value of a new lifelong customer? This game is hardball and either you step up and play or you’re going to be out of the game soon.

The same thing can be seen in the tablet wars. Apple is the dominant player with the iPad. Competition is coming now from various Android tablets and most recently HP. But the HP tablet starts at $500 and many of the Android tablets are close to the same price point. That’s the same price as the iPad and like it or not, those tablets are just not as good as the iPad yet. Price being equal, people are going to choose the iPad. If these alternative tablets are going to make any headway, someone is going to have to through down a price like $300. This is not about profit or loss at his point, when you are trailing a dominant player like Apple, you’ve got to grab market share anyway you can.

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The key point here is that we are not only living in a Connected World but a device world. The world is littered with millions of devices of all kinds and more people are finding themselves with more than one. When you have multiple devices, the critical factor becomes keeping your data in sync with all of them. The Kindle happens to be one of the best examples of keeping data and state beautifully in sync. We are going to need to see this more with the other applications we use regularly.

This is why we are seeing such a push toward using the cloud, a fancy term meaning the Internet, for these kinds of services. When applications run on the Net, it’s much easier to maintain state and data across devices. Google’s Gmail is another great example of this. You can easily connect to and maintain all the read statuses wether you’re using an iPad or an Android phone.

In the Connected World it’s just as important to be connected to your data as with other people.

Amazon.com has scored it’s first big win in securing exclusive electronic rights to publish Stephen Covey’s popular business title 7 Habits of Highly Successful People on the Amazon Kindle. As ebook competition heats up among the Kindle, Barnes and Nobel Nook and others, these companies will seek more exclusive deals with popular authors to gain an advantage for their platform.

I think the really important news, however, is Stephen Covey experimenting with self publishing his own titles, at least the electronic versions. Reportedly the royalty split is more favorable and I’m sure there are other aspects Covey gets more control over with self publishing. The music industry is already going through this right now as many artists are seeing less and less value in the traditional record company. Artists can record, produce, distribute and market their songs all on their own and keep more of the profit and control. Now we can see the first steps of this happening in the publishing world. Stephen Covey is a big name and a best seller. If he can show success with this model, others will likely follow.

It’s not as likely this self publishing senario will flow over into traditional paper bound books as there are real costs there for printing and distribution, unlike electronic books. In fact, Covey says he has no intention at this time of changing his paper book publishing setup. Popular podcast book author Scott Sigler, though, is running a very interesting self publishing experiment with his hardbound book called The Rookie. The Rookie is not the typical horror novel Scott is famous for and as such his publisher Crown Books was not interested in putting the book out. So Sigler started taking pre-orders for the book online, utilizing his lage fan base and social network marketing. Sigler was diligent, making this an exclusive limited print run at a specific price that insured everything was paid for. With some luck, Scott may make a small profit as well.

Self publishing isn’t just for blogs anymore, the whole book industry is about to go through a major disruption in the next several years. More book readers will be released. Tablet computers that may display full color magazines are likely and more. If publishing is to survive they will need to figure out how to utilize this new technology for themselves. If they grip to hard holding onto the old models, they will suffer the same fate as the music industry.

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The app itself is very well done and after purchasing my first Kindle book, opening the app synced my purchase right over to the iPhone, easy as can be. The reading experience on the iPhone is surprisingly good. Of course it’s no match for a real Kindle with the larger screen and eInk technology, but I was perfectly happy with the experience. You can control font sizes, create book marks and the software remembers where you left off.

It’s a significant development because it effectively drives the price for a Kindle reader down to $199 from a regular Kindle price of $359. For people who already own the iPhone, which is far more people than the Kindle device, the app to add Kindle functionality is free. This is going to put Kindle books into far more hands far quicker than Amazon could do on it’s own. It will also likely sell more Kindle hardware as well as people want to upgrade to a better reading experience. As I said in the last podcast, Amazon is in the book sales business not the hardware business. This is a great first step and I can’t wait to see where else Kindle technology shows up.