Amazon lowers price of Kindle reader, takes it international

Feeling pressure from cheaper electronic readers entering the market, Amazon.com cut the price on its Kindle from $299 to $259. The company also said it is taking the Kindle international -- giving it the ability to wirelessly download digital books and other content in over 100 countries and territories. Interestingly, Amazon is going with AT&T as its global wireless provider (while sticking with Sprint Nextel for wireless in the U.S.).

Kindles with both international and U.S. wireless capability will be priced at $279 and start shipping Oct. 19. They could appeal to international travelers, and potentially open up new markets in other countries. Customers who buy the international Kindles will get both U.S. and global wireless from AT&T; U.S.-only Kindles will continue to use Sprint. Amazon's larger-screen, and more expensive, Kindle DX ($489) apparently isn't going international, at least yet.

Amazon has been gradually lowering the price of Kindle, from $359 to $299 and now to $259. And it may come down further yet. With Sony launching a $199 pocket reader and other cheap reading devices on the horizon, Amazon may have to shave more off the price to stay competitive (Amazon has been doing some experiments in the lower end of the market, selling returned original Kindles for $149).

Update: As All Things D's MediaMemo points out, there may be some extra charges associated with the new international Kindle. The product page indicates there's a $1.99 fee attached to downloading books on Kindle while traveling abroad. That could add up to some substantial charges for travelers or international Kindle users.

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About Eric Engleman

ERIC ENGLEMAN is senior technology staff writer for TechFlash and the Puget Sound Business Journal, covering online retail giant Amazon.com. Engleman tracks Amazon's increasingly complex business, spanning ecommerce, Kindle, cloud computing, and more. He's been covering technology and other industries for the Business Journal since 2003.

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