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It all sounds quite reasonable in theory.
If you understand your own format really well you could probably code your reading application to handle it better in many ways - not just faster page turning. However, it just depends on how much page turning speed relies on those kind of factors.
But having your own proprietary format would certainly make it easier to create the various application of which Amazon are speaking. It would be far more viable for them from a cost perspective to develop and maintain applications on multiple platforms if they are intimately familiar with the format (which no doubt they are).
Regards
Caleb
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