Microsoft Surface Could Kill the Barnes & Noble Nook

[MacMcK1957]

I also have non-Nook devices running the Nook app (iPad and laptop) but prefer not to use them for heavy reading.  The e-ink NST is (a) a lot easier on the eyes, and (b) light enough to easily hold in one hand for long stretches.  I can't read in bed holding an iPad with one hand.

The one issue I still see with the basic e-ink Nook or Kindle is the price.  $79 is nice, but I think the magic price point to really sell them is $49.  That would (IMO) get a lot more people to spring for a reading-only device.

[bobstro]

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keriflur wrote:

[...] This assumes that people are choosing between e-ink and non-e-ink devices, but this is not a there-can-be-only-one scenario.  Lots of people have both.

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I'm in that category in a big way. The ability of such "mixed family" readers to seamlessly interact (read) independent of the underlying hardware being used shouldn't be as big of a deal as it is. The B&N reader on my NC/NT is different than on the NST, which is different than on my Windows desktop. B&N really needs to provide a consistent and reliable feature set, regardless of the platform.

I suspect that users that by mixed types of devices might drive sales of the eInk devices, since it is nice to have a pocketable, and semi-disposable (cheap) reader once you get hooked on reading off a device. That's why I've got my "beach NOOK" NST. Unfortunately, the ability to sync and organize between devices, even all NOOK devices, was lacking. If keeping two devices is a chore, fewer people will opt for it. I've worked around these limitations by rooting, but that's not a solution for everybody.

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As far as him singling out e-ink, I think he's doing exactly the opposite.  He's dismissing it as irrelevant to the discussion.

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Well yes, that was my point. Despite the picture at the top of the article, I don't think the article was focused at the eInk devices a bit. It read, to me at least, like an article on the impact on the NOOK Color/Tablet market.

Regardless of the author's intent, this does raise an interesting question: Can B&N play in the ebook market profitably if the high end NT/NC devices get squeezed out of market share? Have sales of the NSTG been sufficient to close the gap between eInk and color? Is something new and exciting coming for the low-end, reader-only market?

If, as pundits like to point out, B&N really don't make much on the hardware, and profit primarily from content sales, and if ebooks are a high enough percentage of that media sold, then this might be good news. B&N can focus on app functionality, and a small range of inexpensive, rock-solid devices and find a niche.

[keriflur]

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bobstro wrote:

Regardless of the author's intent, this does raise an interesting question: Can B&N play in the ebook market profitably if the high end NT/NC devices get squeezed out of market share? Have sales of the NSTG been sufficient to close the gap between eInk and color? Is something new and exciting coming for the low-end, reader-only market?

If, as pundits like to point out, B&N really don't make much on the hardware, and profit primarily from content sales, and if ebooks are a high enough percentage of that media sold, then this might be good news. B&N can focus on app functionality, and a small range of inexpensive, rock-solid devices and find a niche.

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If B&N is making the bulk of their profit on content sales, then IMO they might be able to let go of the tablets (NC/NT), IF and only if they can make the hands-down best software for ebook reading and they can keep ebook prices low.  I'm not saying they should let go of these devices, just that once the market becomes saturated with 6" and 7" devices, the NC/NT may become redundant, and there may be very little profitability in them.

E-ink, I think, is another situation altogether.  There aren't that many devices, and the number of devices isn't increasing at the rate that the number of tablet devices is.  Add to that, if the reviews I've read are accurate, the next best device functionality-wise is the kindle touch.  If B&N stopped making nooks, I don't know that their market share would go to Kobo and Sony.  I expect it would go to kindle, which means a huge loss of content sales.

So until that elusive perfect screen comes along, with vivid color and quick refresh, that is reflective (making it easy to see in sunlight and easy on the eyes), I don't see how B&N could stop making e-ink nooks without seriously damaging their content business.

[li-kris]

I'm not so sure, that surface tablet looks super expensive. Likely why no price was revealed - to soften the blow when it lands.

[MacMcK1957]

Predictions are that the Surface pricing will be a lot closer to the iPad than to the Kindle Fire/Nook Tablet type of device.

[keriflur]

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MacMcK1957 wrote:

Predictions are that the Surface pricing will be a lot closer to the iPad than to the Kindle Fire/Nook Tablet type of device.

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This makes sense, given the feature set.  I wouldn't be terribly surprised if it wasn't more expensive than the iPad.

[patgolfneb]

I think the new Google Nexus tablet is a much bigger threat than the surface. Size and features, except possibly screen quality, appear to meet or exceed nooks and the access to Google play matters to many. BN will need another hardware and reader app update ASAP.

[TnTexas]

patgolfneb: I think the new Google Nexus tablet is a much bigger threat than the surface.

Definitely. So what direct alternatives to the Color and Tablet do we have now? Google Nexus, the Fire, and Samsung 7? Wasn't there an Acer one as well? Any others?

[bobstro]

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patgolfneb wrote:
I think the new Google Nexus tablet is a much bigger threat than the surface. Size and features, except possibly screen quality, appear to meet or exceed nooks and the access to Google play matters to many. BN will need another hardware and reader app update ASAP.

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The Nexus is supposed to sport an IPS screen, so I don't think screen quality will suffer in comparison. Lack of uSD on the Nexus may be a deal-breaker for some, but otherwise cost seems to be B&N's main edge.

[bobstro]

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TnTexas wrote:

patgolfneb: I think the new Google Nexus tablet is a much bigger threat than the surface.

Definitely. So what direct alternatives to the Color and Tablet do we have now? Google Nexus, the Fire, and Samsung 7? Wasn't there an Acer one as well? Any others?

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It depends on what the consumer wants and can afford. There are 7 inch Android tablets for $100-200 that can run the NOOK app, as well as a number of others. They tend to suffer in screen quality, or battery life, or both, but those may not be a consideration for some users. Personaly, I wouldn't want one, but I would have considered one for my kids a few years ago.