Saturday, January 23, 2010

Apple to rock the eBook world? Maybe...


  
There's been no greater subject in the publishing world of late than eReaders, eBooks, and the resulting changes in the industry.

Now, the game is about to change once more as Apple is set to unveil their version of the tablet computer. Tablets are nothing new, but they've failed to gain a foothold beyond utilitarian use. There's no doubt Apple's products are revolutionary, evolutionary, and everything in-between (look no further than the iPod or iPhone). Now, if the sheer number of rumors hold any weight, Apple is about to change the eReader market.

Or maybe not.

Analysts price the Apple Tablet in the range of $800-1000. Yet in an informal poll conducted by Retrevo, 70% of consumers would not be interested in purchasing a tablet if it's priced higher than $700. Further, "Retrevo found roughly half the respondents said they didn't think they needed a tablet computer" at all.

Also, compare the rumored $800 price point with Kindle's (and Nook's) current price of $259. Apple's version of the tablet is supposed to do a whole lot more than just serve as an eReader, but let's face it: for someone who just wants to read eBooks on a small, lightweight device, I think the choice is an easy one.

Even if you never buy the tablet, however, you still might feel its impact. Publishers are decreeing Apple as their savior (or at least they're hoping they are), largely because Amazon has been lowering consumer's expectations with regard to pricing. I'm not just talking eBooks here, either. Late last year Amazon, Walmart, and later Target engaged in a price war over newly released hardcovers when they dropped prices as low as $9. Now, the publishers aren't losing money when retailers choose to lower their prices by that much. But how long before those same retailers "cry" uncle and raise prices, all the while lamenting how greedy publishers have forced them to do so because they will not lower their prices. The backlash could be catastrophic to an already dying publishing industry.

That's where Apple's role as savior comes in. Apple energized and legitimized the online music world with the introduction of the iPod and iTunes store. They followed that with the re-invention of the mobile phone with the release of the iPhone and the ubiquitous App Store. Publishers are hoping they'll do the same with eBooks. Also, by making their own deals with Apple, publishers hope to wrest back some leverage over pricing from Amazon.

Personally, I'm curious to see what capabilities Apple's new tablet might have (though I've no intention of purchasing one; I'm quite happy with my BlackBerry and my MacBook Pro). I'm particularly interested in the possibility of Apple selling eBooks on iTunes and if they'll open that possibility to authors similar to how Amazon opened the Kindle store. Last, but not least, I'm looking forward to January 27 (the day of Apple's unveiling) if only to expunge the rumors and finally breath some reality into this story.