I personally think that if anything can kill this it's going to be the 3000 item limit.
Having said that, I'm really curious about the idea of an Amazon iOS app store - that would require a lot more flexibility and openness on the part of Apple than I for one am used to seeing. Especially as it goes against one of the greatest strengths of a curated environment.
I don't like curated environments, but they do have strengths.
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