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Some say that, when the original Amazon Kindle was released in November 2007, there was no real competition for it. Certainly there were fewer readers around at that time, but such a statement may be just a little harsh on Sony’s PRS reader. In fact, the Kindle’s success was primarily due to the fact that it offered users significantly enhanced benefits which had not been available prior to its launch. Wireless connectivity, without any monthly fee, was a major selling point – as was the huge choice of Kindle ebooks on offer at the Amazon Kindle store.

In February of 2009, Amazon released the Kindle 2 which featured faster page turns, longer battery life, increased storage capacity and was lighter, slimmer and more cosmetically pleasing than the original Kindle. The Kindle DX followed in June 2009, and was basically a larger display version of the Kindle 2 – although it did feature native pdf handling and an accelerometer which auto rotated the screen view when the device was turned on its side.

In the relatively short time since the release of the two latest Kindles, there has been a huge increase in the level of competition in the ebook reader marketplace. Sony has a whole family of new readers on offer and Barnes and Noble have their own ebook reader – the Nook – on the market now. Other manufacturers, such as Microsoft, Apple and Plastic Logic, have readers in development. Many of these have features which outgun the Kindle. If Amazon’s success with the Kindle was ever truly due to lack of competition, then that is certainly no longer the case.

There’s no doubt that Amazon has responded to the increased competition. For example, the price of the Kindle 2 has been slashed from the original $ 359 launch price to $ 259 today. Firmware updates, including extended duration before entering screensaver mode, prolonged battery life and pdf capability for the Kindle 2 have been added. Audio menus to help blind users are being brought in and Amazon has released Kindle “Apps” for the PC and Apple iPhone. Amazon have also launched the Kindle 2 worldwide, and no doubt hope to secure a market share similar to the 60% level which they currently lay claim to in the USA.

Somewhat uncharacteristically for Amazon however, many of these changes seem to be as a response to the competition. It seems improbable that Amazon have run out of new ideas for its best selling product – so when might we expect to see new and innovative changes and what might these be?

The inclusion of some kind of touch screen control functionality must surely be top of the list when new features are being considered. A large number of the new readers include this and it appears to be a feature which is valued by end users. A color display would also be something that a lot of users would value. However, it seems improbable, given the current state of the technology, that this could be made available in a cost effective manner for the next generation Kindle. It would certainly be a huge coup for Amazon if they did it – so let’s not rule it out completely.

Other changes may be less hardware focused. For example, many of Amazon’s competitors seem to be lining up behind the ePub format for ebooks. Amazon currently use a proprietary which means that Kindle books can only be used on the Kindle reader. The ability to transfer books from one reader to another, possibly of a different make, and even to lend them to family and friends will certainly become a selling point in the future. Further changes and enhancements are guaranteed. Amazon will certainly not allow the Kindle to go the way of Sony’s Betamax video tape or Toshiba’s HD DVD system.

As far as when the next generation Kindle, the Kindle 4 for want of a better name, might launch, you would have to suspect sometime in 2010 – and probably the first half of the year. The market is new and is changing and developing rapidly. It is also growing at an incredible rate. Having established themselves as the top dog, Amazon will not allow their competition to overtake them now.

Read more about the Amazon Kindle reader and discover how it can save you money with free Kindle books available direct from Amazon’s website.

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