Apple Prepare to war with Amazon

KOMPAS.com - The first official reviews of Apple's much puffed-up and publicised iPad have come in... and they are surprisingly positive. Many gadget gurus derided the tablet computer at its January launch, as a lack-lustre bigger version of the iPhone with few new features.

Now just two days before the U.S. launch, reviewers have been able to prise the devices from the notoriously secretive Apple for hands-on testing.

Critics from the Wall Street Journal and New York Times both praised the iPad's ease of use and battery life - which lasted longer than Apple's claim of 10 hours.

Reviewers at both papers said the tablet computer, which goes on sale in the UK this month, works nicely for web surfing or consuming media like video and books.

'If you're mainly a web surfer, note-taker, social-networker and emailer, and a consumer of photos, videos, books, periodicals and music ... this could be for you,' Mr Mossberg said.

However, he added that the speedy device, which will start at $499, had 'annoying limitations.'

'The email program lacks the ability to create local folders or rules for auto-sorting messages, and it doesn't allow group addressing. The browser lacks tabs. And the Wi-Fi-only version lacks GPS,' he said.

Mr Pogue described the 9.7" tablet as 'so bright and responsive', but added: 'The bottom line is that you can get a laptop for much less money with a full keyboard, DVD drive, USB jacks, camera-card slot, camera, the works.'

eReader war heats up

The reviewers were split over whether the iPad could topple Amazon's Kindle as the most popular eReader on the market. Currently the Kindle makes up 90 per cent of the eReader market. The Kindle DX, which has a 9.7" screen, is in a similar price bracket, at $489.

The Journal's Walt Mossberg said he preferred the iPad to the Kindle.

PC Mag's Tim Gideon added: 'Kindle: I like you, but I am nervous about your future.

'The iPad displays books in a way that is much flashier than your black and white e-ink screen. It shows illustrations in colour. Page turns actually look like page turns.'

However, David Pogue from the New York Times said the device's 1.5lb weight was too heavy for reading compared to Kindle's 10oz.

He added: 'You can't read well in direct sunlight' and 'You can't read books from the Apple bookstore on any other machine, not even a Mac or iPhone.'

However, Apple's iBook store will not come preloaded on the iPad, allowing other companies, including Amazon, to create online bookstore apps for the device.

Readers will therefore be able to buy eBooks from a number of different suppliers but read them on their iPad.

Amazon said the company would 'look forward to making Kindle for iPad available very soon,' but didn't confirm if the App would be ready for the U.S launch on Saturday.

Book publishers are set to reap the rewards as the battle heats up between Apple and Amazon for eReader customers.

Today, Amazon agreed to halt heavy discounting of eBook best sellers in new pricing deals with two major publishers.

The agreements with HarperCollins and CBS Corp's Simon & Schuster will allow publishers to charge up to $14.99 for some popular titles - more than the tough $9.99 pricing cap that Amazon had set previously.

The new deals, that mirror those struck with Apple, mean Amazon will have the same array of titles that rival what Apple will offer on its digital bookstore.

Currently Apple allows publishers to set the price for their own books, with Apple receiving 30 per cent from each sale. This is very different from the standard publishing pricing, as used by Amazon. In this version publishers sell books at a wholesale rate. Then Amazon makes a profit by marking up the books above this.

John Makinson, Chief Executive of Penguins Books, said: 'We have all struggled in this industry to find an online model that works successfully in terms of content and the consumer's propensity to pay.

'I think myself that the iPad represents the first real opportunity to create a paid model that will be attractive to consumers.'

Penguin will share 30 per cent of its revenue from eBook sales for iPads with Apple. Mr Makinson said this compared to the 50 per cent publishers typically paid to book retailers including Amazon.
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