February 25, 2009

Designing the Kindle 2 | Beyond Binary - CNET News

Designing the Kindle 2 | Beyond Binary - CNET News:

Smart, large distribution newspapers will find ways to artificially limit traditional printing and widespread distribution. Bankruptcy may be a driver. (Interesting question: Would the Constitution prevent a government bailout of the 'press?' ). The transition will be very hard, because it's well nigh impossible to suddenly stop printing and suddenly turn on electronic distribution for reading devices and websites; huge barriers exist.

The business model is difficult and the cultural barriers enormous, too, but the end game is clear...to me at least. The time will come sooner rather than later when news organizations will not print papers for distribution. Instead, our subscription will include only electronic delivery, whether downloaded to a device or read online at websites as millions do today.

It would seem that businesses like Reuters stand to gain immensely from this shift to reading devices because they may have the option of bypassing the traditional newspaper business.

"Newspapers and blogs are also important, though Freed wouldn't say whether he bought into the notion that some newspapers would be wise to stop home delivery and instead pass out Kindles to subscribers.

'I'll leave it to others to figure out what the economic model will be for newspapers,' he said. 'Our newspaper customers have been happy working with us. It's a new source of revenue for them.'

Amazon, he said, would certainly be happy to talk to newspapers interested in trying something more radical. 'We'd certainly be open to working with any newspapers.'"
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