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Presumably, B&N has something up its sleeve to announce (and ship) in time for Amazon's mid-November ship dates. Amazon brings a lot of value to the tablet table at $199 for a cloud based device with video.
The new Kindle e-ink devices slightly reset the pricing models, particularly with a $79 Kindle-without-touch-and-without-keyboard-but-with-a-bunch-of-ads ereader as a marketable entry point.
The standard Kindle Touch WiFi is $139 ... the same as the B&N Nook Touch and similar to Kobo and Sony. So, in the eink space, Amazon is pacing the market primarily vs. the tablet area where it clearly is offering something dramatically new and better than anything at the price level.
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