By Jeff Bertolucci, Sep 3, 2009
If you don’t already own an e-book reader like the Amazon Kindle or Sony Reader, how much would you pay for one? For these devices to attain mass-market appeal, they’ll need to be priced as low at $50, according to a new report by Forrester Research. Problem is, today’s e-reader costs more than $50 to manufacturer, the report says. A 6-inch e-ink screen alone runs about $60. Larger displays, like the Kindle DX’s 9.7-inch slate, naturally cost more. E-reader manufacturers will have to find innovative ways to bring costs down, such as adopting the subscription model common among wireless carriers and mobile phone manufacturers. Newspapers and magazines, desperate for a workable business model, would be likely partners. “Device makers should partner with companies that have incentives to subsidize the device in exchange for a content subscription (newspapers like the Detroit Free Press) or service subscription (mobile carriers like Verizon, which already has a similar model for mobile phones and now netbooks),” the report says.
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