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April 27, 2009 4:09 PM PDT

Amazon snaps up iPhone e-book reader app Stanza

by David Carnoy
(Credit: Lexcycle)

Maybe Steve Jobs doesn't think there's a market for e-books on the iPhone, but Amazon seems to. On Monday, it acquired Lexcycle, the company that developed the popular Stanza iPhone and iPod Touch e-book reader application, for an undisclosed sum.

At first glance, it's unclear exactly why Amazon would buy Lexcycle when it has its own successful Kindle iPhone e-book reader application. But it appears to be hedging its bets by picking up what it thinks is "an innovative company" that works across multiple mobile platforms.

Clearly, Amazon is looking beyond the Kindle 2 and salivating over the 37 million iPhone and iPod Touch devices already in the market, as well as the upcoming Palm Pre, Google's Android phones, and future Windows Mobile phones. There's also talk of a rumored oversize iPod Touch that's due out later this year that would make for a potentially intriguing e-book reader. Plus, the Stanza reader supports the ePub format, which is quickly becoming the standard for e-books outside the proprietary format that Amazon uses for the Kindle.

As we've come to expect from Amazon, it was a bit coy in its remarks to The New York Times' Bits blog. Cinthia Portugal, a spokeswoman for Amazon, said, "It's very early days for e-books, and we believe there is a lot of innovation ahead of us. Lexcycle is a smart, innovative company, and we look forward to working with them to innovate on behalf of readers."

In announcing the deal on its blog, Lexcycle assured Stanza devotees that it wouldn't be making any changes to the application or user experience as a result of the acquisition. "Customers will still be able to browse, buy, and read ebooks from our many content partners," the post said. "We look forward to offering future products and services that we hope will resonate with our passionate readers."

What do you think? Smart move by Amazon? Was it a good time for Lexcycle to sell?

As always, feel free to comment.

Hunkered down in New York City, Executive Editor David Carnoy covers the gamut of gadgets and writes his Fully Equipped column, which carries the tag line "The electronics you lust for." He's also the author of "Knife Music," a novel. E-mail David. Follow David on Twitter.
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Add a Comment (Log in or register) (19 Comments)
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by Larry_Smyrna April 27, 2009 5:45 PM PDT
I never thought I'd say this, but I'm absolutely addicted to reading Jackie Christian porno
books on both my Kindle and my I-phone.

I used to be one of those people claiming that Kindle wouldn't last but now I think
it's going to be a mammoth giant crushing everything in its path.

I sure as heck can't do without my Jackie Christian sex novels. Especially having
the FEMALE VOICE of Kindle read them back to me, which is why I think the
actual Kindle is superior to the I-phone, but I got both.
Reply to this comment
by AlanHub April 27, 2009 8:55 PM PDT
LOL
by manticore--2008 April 27, 2009 6:08 PM PDT
The cynic in Me says Amazon bought Lexcycle for the technology kill.
Buying a viable alternative to Amazon's own problem-fraught and insufficiently developed product which was rushed to market before being truly refined, simply to make profit.

Stanza was always going to be a better system, and all Amazon has done to to buy the opposition so as to kill it off while it is young. This will enable Amazon's inferior product to gain better market share, even if (as I truly suspect to be the case) Amazon makes no use whatsoever of Stanza technology but has simply purchased ti to prevent it evolving further.

Amazon has NEVER been a company to put properly developed product into the marketplace, when insufficiently developed product can mean a quick profit, early-on.

Amazon ALWAYS puts quick profit ahead of proper product development.
Reply to this comment
by b_baggins April 28, 2009 6:55 AM PDT
Or, Amazon could take the technology and fold it into the Kindle. Sometimes companies buy better products to USE their technology, not kill it.
by BogusBasin April 28, 2009 6:57 AM PDT
Is Amazon owned by Microsoft?

Amen
by adkman1956 April 27, 2009 6:30 PM PDT
I think Amazon just wants a piece of Apple pie. There is money to be made and all of the corporations want some of it.
Reply to this comment
by norbert6464 April 27, 2009 8:02 PM PDT
Haha what a joke... It's kind of like when you're losing in Monopoly and start buying Railroads just to pretend you're really the head honcho.
Reply to this comment
by iphoneapps April 27, 2009 8:05 PM PDT
Who woulda thunk it? Congrats to Stanza for their short-lived independent life. What is Amazon going to do with 2 differnt iPhone readers now? For what it's worth, the Toy Lounge - http://thetoylounge.com - has its own proprietary eBook reader and will publish your eBook asap at the lowest possible cost. No need to go with the Amazon monopoly for everything.
Reply to this comment
by stanzarulz April 28, 2009 6:00 AM PDT
Stanza is a much superior product due to one thing, it gives you the option to create your own Kindle type books. You have the option of taking .pdf, .lit, .txt and yes even .html files directly from a url and convert them to Kindle format. While Kindle for the iphone/touch will always be around I get the strange feeling Stanza will soon be placed in the dustbin of history. Amazon does not want an ebook reader whereby you can create your own ebooks from many different formats. I highly recommend everyone give it a try before it disappears.
Reply to this comment
by photog_7 April 28, 2009 6:03 AM PDT
Well, there is another possibility. They could "merge" it with Kindle and close it. That's worked for Adobe more than once. Maybe they just want it to go away.
Reply to this comment
by Tekklord April 28, 2009 10:42 AM PDT
Their best bet would be to abandon the Kindle. It doesn't matter how good it is in fanatics eyes, it's an over-priced one trick dinosaur. Programmable devices will always win out over closed ones. You can always do new things that make the Patent grab irrelevant. Just look at Microsoft's acquisition of WebTV in the 90s. With youTube, Netflix streaming, and other technologies, where is WebTV technology? Even if it is embedded deep within Media Center, it's largely irrelevant today. Typewriters were supplanted by Word Processors, which were replaced by desktops with a myriad of programs. Stanza will be replaced with something better if Amazon chooses not to use it. As smartphones get bigger and netbooks get smaller, the Kindle will be squashed like a bug. Unless it morphs into one of the others. Which proves my point.
by Marti-ithaca April 28, 2009 6:49 AM PDT
It will be interesting to see how this story plays out. Even though there seems to be synergy between the iphone and Amazon on the surface, there is in fact a deep divide.

Amazon pays 30% royalties to publishers of content on the Kindle, while Apple pays 70%. Why will publishers publish with Amazon through the kindle store or now the Stanza store if then can get another 40% by doing the same with the app store which provides seamless solution for publishing?

This move might be a preemptive strike that temporarily closes the door on this problem. The keyword being temporarily. Others will emerge to take a slice of that 40% difference!
Reply to this comment
by jorr73 April 28, 2009 6:53 AM PDT
stanzarulz, you can publish your own work quite easily on the kindle through Amazon DTP. https://dtp.amazon.com/mn/signin

Personally, the reason I like using the kindle over other devices is that the display is much easier on the eyes, so these iPhone readers don't do anything for me.
Reply to this comment
by jorr73 April 28, 2009 7:10 AM PDT
You can also convert just about any type of document to kindle with the free mobipocket reader program, or by e-mailing it to amazon's automatic conversion service.

The mobipocket reader needs MS word installed to convert .doc files, but I get around that by opening them in open office and saving it as a PDF or text file and then converting that.
by stanzarulz April 28, 2009 8:26 AM PDT
Does it convert .html files and does it work on the ipod touch?
by Renegade Knight April 28, 2009 7:18 AM PDT
If you can't beat the competition, buy them.
Reply to this comment
by Bertbaby April 28, 2009 10:10 AM PDT
As the author of the Flores Girl: The Children God Forgot novel, my eBook is now a featured work at Wattpad.com, which is a free competitor to Stanza, and I have to say that the reader response has been overwhelming. People like the convenience of their Smartphones and they really don't want to carry another device around so Amazon is basically hedging their bet with this acquisition.

Cheers,
Erik John Bertel
floresgirl.com
Reply to this comment
by Spanwite April 28, 2009 1:42 PM PDT
I don't own a i-Phone nor a Kindle, but it sound interesting Stanza on iPhone and iPod Touch e-book reader and maybe some day a Camera next to the display.
While the camera looks at your eyes, and move the book page on the screen so it stays always in perfect view!
Give it a app for that? ;-)
Reply to this comment
by iphoneapps April 30, 2009 5:38 PM PDT
The Toy Lounge of St. Paul MN - thetoylounge.com/ebooks - creates iPhone apps for eBooks, newspapers, magazines, children's books, radio stations and more. Now that Amazon owns both of the top eBook readers for the iPhone - Kindle and Stanza - it will be up to independent developers to come up with alternatives. The Toy Lounge has its own proprietary eBook reader for the iPhone in development with summer 2009 availablility.

Do you think Jeff Bezos will allow Stanza to stay independent AND free, or will Kindle absorb Stanza's technology and quietly go away?
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