06-25-2013 12:36 PM
Last earnings report they were still planning their international push. I'm assuming that's dead?
With the old Nook brand tablets? Yes, I'd say so. However I imagine if they are able to partner with a tablet manufacturer they'll want to hit international sales asap.
The eInk line should, in theory, still be something they want to push internationally.
Of course that's using the logic that currently the only thing standing in the eInk Nooks way of full international release are the selling rights from international publishers. It's already in the UK.
06-25-2013 01:36 PM
And, as expected, some analysts begin hammering the nails into B&N's coffin:
"Brian Sozzi, CEO and chief equities analyst at Belus Capital Advisors, thinks the odds are stacked against a Barnes & Noble turnaround. "I have no confidence in this company surviving," Sozzi says in the attached video." Barnes & Noble: The Final Chapter?
Given B&N's inability to manage software releases, their belief that removing features to add other features is acceptable, and their inability to truly understand the market, I can't disagree with Sozzi.
Frankly, maybe Lynch does need to go. There are glaringly obvious issues with the way B&N is run - in the nook division, online, and in the stores. Maybe a new CEO could turn the ship around.
06-25-2013 09:45 PM
06-26-2013 01:21 PM
I heard about the new eink devices on the news this morning, and I'm thrilled. This is the exact plan I thought BN should have gone along with as soon as they realized that they no longer had the lead in the 7"/ low priced tablet market.
I firmly believe that there is a large enough demand for books (both paper and electronic) that if they would just stick to their roots they can definitely grow, so I disagree with Suozzi (sp). There are lots if people who just want to read, and who don't need Angry Birds and Facebook on every device they have.
The caveat would be that BN needs to step up and please those reading customers. Better software, responsiveness to issues and much more Nook integration on the retail side (ie store staff that actually understand Nook devices). The ability to buy nook books in store was step one, the decision to focus on tweaking the current nook is step two. It remains to be seen how much they really flex the ability to capitalize on the demands of the book market, which would be step 3.
06-27-2013 12:18 AM
06-27-2013 07:32 AM
06-27-2013 12:16 PM
Two other things in the financial statement that struck me: B&N will be "... launching new NOOK Apps™." Perhaps they'll fix them and align features between platforms? They also intend to innovate in eInk. Will they respond to the Kobo Aura and up the ante with screen resolution? There was also a reference to committing to bring digital content to "all devices". While I wouldn't expect music on a mute NST, perhaps that's a hint about future capabilities? Most importantly, I think, were repeated references to the fact that a lack of big book blockbusters such as Hunger Games and 50 Shades hurt both digital and store sales. B&N may have remembered that they're in the business of books after all.
"Digital Content" might just mean books, and they might just be saying that they intend to build apps for all platforms (meaning an app for Blackberry again, and surely one for WP8).
I assume the next e-ink nook will have at least the resolution of the Aura, as anything less wouldn't really count as keeping up with the market, let alone "innovative."
06-27-2013 12:40 PM
I've always thought that BN should be in the business of selling content instead of hardware and concentrate its efforts in that direction. Companies that sell other forms of digital content as their core business typically don't produce hardware consumption devices like mp3 players or set top boxes. Why should eBooks be any different at this point?
I've also blathered on about BN reducing their software development costs by making one eReader that is HTML5 based and can run in an offline browser instead of developing and maintaining a version for each platform, but the MS deal might keep that from happening. MS is likely going to want a 1st class eReader experience that exploits all of the features of their OS rather than something that just works on any platform with a modern web browser.
06-27-2013 12:55 PM
Companies that sell other forms of digital content as their core business typically don't produce hardware consumption devices like mp3 players or set top boxes.
I beg to differ. The digital music business was built on the combination of the iPod device and the iTunes sales platform.