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As I new buyer of a Sony eReader (coming over from the Nook), I can't see how Sony could compete in the eReader marketplace at that price point. Sony learned a hard lesson back in 70s and 80s when it had the superior product in the Betamax, but were forced out of the market by the lower priced and mass-produced VHS machines. I think they saw the same handwriting on the wall and is trying to stay in the eReader game. There are not enough consumers out there who will pay a premium for anything, especially in this market where there are numerous entries in the $100 - $150 price range. The average consumer is not willing to pay a premium of over $100 for the same machine that one of your major competitors just released for $99. While I think they could have come out with other iterations of the device (3g model is being released in Japan), I think they are viewing the T1 as their best shot to remain viable in the market.
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