TechFlash: Seattle's Technology News

The Kindle 2 is only a few days old. But Amazon.com is already making changes to the device. In response to criticism from the Authors Guild and others, Amazon.com issued a statement this afternoon saying it would now allow authors and publishers to decide whether to utilize the text-to-speech function on select book titles.

The Kindle

Publishing giant Hearst -- which has announced plans to sell or close the Seattle P-I and the San Francisco Chronicle -- has developed a new electronic reading device that is expected to debut later this year, reports Fortune.  The new device is interesting for Seattle readers, not only because of its implications for the future of the Seattle P-I but also because the device could compete with Amazon.com's Kindle. The Kindle already offers electronic versions of some of the top newspapers in the country, including The New York Times, LA Times and The Seattle Times.

With the first Kindle 2s hitting doorsteps this week, is Amazon already planning a Kindle 3 launch? DigiTimes writes that Amazon plans a new version of its electronic book reader by the end of this year, saying it will be "larger in size and equipped with touch functions."

Could this be the long-rumored student version of Kindle, designed to replace textbooks?

Spend $5 to fund a startup? That's how it worked with a speaker event in Seattle last night featuring Brad Feld, the well-known blogger, entrepreneur and venture capitalist. It cost between $5 and $20 to attend the event, and the proceeds (which, according to a preliminary count, total $1,250) are going to Vittana, a new early-stage nonprofit founded by a pair of ex-Amazon.com engineers.

A major Canadian bookseller is readying the launch of its "Kindle killer" Thursday. Indigo Books & Music says its Shortcovers electronic book program will offer 50,000 full books at launch, as well as 200,000 first chapters of books for free.

Shortcovers is designed for use with iPhone, BlackBerry, Android phones, and other mobile devices. It's taking direct aim at Amazon's Kindle 2, which began arriving on people's doorsteps this week.

When Amazon unveiled Kindle 2, its new electronic book reader, the Authors Guild was quick to critize the device's new Text to Speech feature, which reads e-books aloud, arguing that it could undermine the lucrative market for audiobooks. Now the Guild has fired another shot across the bow with an op-ed piece in the New York Times titled "The Kindle Swindle?"

How do you think Jeff Bezos did on his appearance on The Daily Show? The Amazon.com founder and host Jon Stewart got some big howls, especially for indirect references to masturbation. More analysis from Eric Engleman and ValleyWag, which calls Bezos a "chuckling maniac."

Amazon.com CEO Jeff Bezos -- and his trademark guffaw -- dropped by The Daily Show on Comedy Central Monday night. Bezos is on a media tour promoting Amazon's new electronic book reader Kindle 2, and he did his best to stick to the marketing script, though host Jon Stewart kept things off-balance by repeatedly poking fun at Amazon.

With the first Kindle 2s due to arrive on doorsteps Tuesday, I went to Amazon's offices for a quick demo of the new electronic reader. Jay Marine, director of product management for Amazon Kindle, showed off the design and walked me through the basics.

Amazon.com is picking up the pace on Kindle 2 delivery. The online retailer is shipping out its next-generation electronic book reader today, a day earlier than planned. That means some people will be getting the new Kindles on their doorsteps tomorrow.

News of the earlier-than-expected shipping started percolating on Twitter and Amazon's own online customer discussions over the weekend. There's no sign yet that Amazon is encountering any of the same supply problems that dogged the original Kindle. Amazon's website still lists Kindle 2 as in stock.

Amazon.com's next-gen electronic book reader, Kindle 2, isn't due to ship until Feb. 24. But for anyone who wants to get a head start on learning all the device's bells and whistles, Amazon has helpfully posted the Kindle 2 user's guide online. I'm still making my way through the 99-page PDF version.

Engadget first spotted the guide, also noting today some enterprising efforts on the Kindle Boards fan forum to track down the source of the voice on Kindle 2's "Text to Speech" feature, which reads e-books aloud (the Author's Guild has criticized the "Text to Speech" function, warning it could undermine the market for audiobooks).

Update: Customer discussions on the Amazon site on Sunday indicate some Kindles have already shipped.

See more of Milt Priggee's Tech Toons here, or visit www.miltpriggee.com.

Seattle's Ballard neighborhood lost out in a recent online vote to be the next grocery delivery area for Amazon Fresh (Ravenna won the contest). But Amazon is extending the service to Ballard anyway. Residents of Ballard's 98117 and 98107 zip codes alerting them that Amazon Fresh is now delivering to their area.

Amazon.com is a master at merchandising. So you might think that its recent entree into the casual games business would cause some alarm amongst other online distributors of puzzle, strategy and card games. Or, maybe not.

At the WTIA gaming panel this evening in Seattle's SoDo district, leaders of Big Fish Games, WildTangent and RealNetworks were somewhat dismissive of Amazon's latest foray. Moderator Frank Catalano asked if the move threatened or legitimized their businesses, which certainly got the panelists' blood boiling.

"You got to be kidding," said WildTangent Chairman Alex St. John. "Microsoft, AOL and Yahoo -- three of the largest portals on Earth -- have been doing that for years.... Amazon.com came to the market very late with the same business model, the same content and the same price point. Their impact is negligible compared to the enormously entrenched large portals. The large portals, however, have been losing their audience pretty steadily over the years and they are losing their audiences to us."

Digini and Vyk Games said they are merging to form a new Bellevue game development company called Blade Games.  Tony Garcia, former CEO of Digini, will serve as CEO of the new company, while former Vyk Games CEO Tom Sperry will serve as president.

Robert Scoble, the self-described "tech geek blogger," arrives in town and snaps a cool photo of life inside the Seattle startup Gist. "I love real startups. This is how our economy will come back," he writes. [More after the jump]