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Originally Posted by Elfwreck
There's hints of "working with Amazon" in some of the reports; it's possible that Amazon is working to accept .epub and maybe .lit as document types that it will convert for the Kindle. It may not have done so before now because it thought customers would be too confused by the concept of "we can only convert non-DRM'd ebooks;" two years ago, Amazon could pretend those had no notable market share.
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No way will MS Reader be a format used. It's dead now.
Though, maybe Amazon will get Topaz versions. That would be a kick in the teeth for Amazon.