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I don't they are doing bad in the sales.
The problem is competition, which such a new market, where having a reliable technology, and good craftmanship (bad plastic is bad), it where the cookie crumbles.
It happened with Kindle, having to drop its price to $139 for non-ads after Nook or Kobo got out an eReader at $120 or so.
Its gonna happen the same as it has happened with cellphones... people will buy a new one because it has "cutting edge technology", but not because their previous eReader broke or its technological speaking obsolete.
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