Amazon Kindle Sets Record, E-Reader Race Is Over


It wouldn't reveal the number, but Amazon (AMZN) did announce that it realized record sales for its Kindle e-reader this month. And, there's still the rest of the month to go, including the run-up to Christmas. Just as the battle for e-reader market share began to flare up, it already seems to be over.

This year, Sony (SNE) released a new e-reader, and Barnes & Noble (BKS) entered the market with its Nook device. Both posted early successes, which quickly became problems. The two companies sold out of inventory and won't be able to ship new orders until the new year.

Meanwhile, Amazon, an old pro in this market, has managed its supply chain well and can continue to fulfill as the orders come rolling in. Not being able to deliver by Christmas puts both Sony and Barnes & Noble at a disadvantage, forcing them to cede customers to the giant of online retail.

It looks like the fight for the newest corner of the book market is pretty much decided. Barnes & Noble and Sony will have to do something drastic to compensate for the missed opportunity this year, and there just aren't many levers to pull. Amazon's record is only a sign of things to come for this rapidly growing category.

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