Yes, it is a license.
Quote:
1. Digital Content
Use of Digital Content. Upon your download of Digital Content and payment of any applicable fees (including applicable taxes), the Content Provider grants you a non-exclusive right to view, use, and display such Digital Content an unlimited number of times, solely on the Kindle or a Reading Application or as otherwise permitted as part of the Service, solely on the number of Kindles or Other Devices specified in the Kindle Store, and solely for your personal, non-commercial use. Digital Content is licensed, not sold, to you by the Content Provider. The Content Provider may include additional terms for use within its Digital Content. Those terms will also apply, but this Agreement will govern in the event of a conflict. Some Digital Content, such as Periodicals, may not be available to you through Reading Applications.
Limitations. Unless specifically indicated otherwise, you may not sell, rent, lease, distribute, broadcast, sublicense, or otherwise assign any rights to the Digital Content or any portion of it to any third party, and you may not remove or modify any proprietary notices or labels on the Digital Content. In addition, you may not bypass, modify, defeat, or circumvent security features that protect the Digital Content.
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The relevant provision is: "Content Provider grants you a non-exclusive right to view, use, and display such Digital Content an unlimited number of times, solely on the Kindle or a Reading Application or as otherwise permitted as part of the Service, solely on the number of Kindles or Other Devices specified in the Kindle Store, and solely for your personal, non-commercial use. Digital Content is licensed, not sold, to you by the Content Provider. "
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IOW, you have the specific right to view, use and display the digital content (i.e., the book) on your Kindles as often as you want.
There is no at-will revocation provision.
Quote:
Compliance with Law and Reservation of Rights. You will use the Kindle, the Software, the Service, and the Digital Content in compliance with all applicable laws. Neither the sale or transfer of the Kindle to you, nor the license of the Software or Digital Content to you, transfers to you title to or ownership of any intellectual property rights of Amazon or its suppliers or the other Content Providers. All licenses are non-exclusive and all rights not expressly granted in this Agreement are reserved to Amazon or the other Content Providers.
Since you do not own anything and are a licensee, it is terminable at any time by Amazon, which is also stated in the TOS as follows:
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No, that doesn't follow at all. A license is a grant of specific rights, and they can't be unilaterally taken away any more than the state department of transportation can unilaterally revoke your driver's license.
Quote:
Changes to Service. We may modify, suspend, or discontinue the Service, in whole or in part, at any time.
making this a license that is revocable at will by Amazon. I'm not sure how much clearer it can be.
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As was pointed out upthread, the "Service" means the wireless service.