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No one else is able to sell DRMed kindle books, and it takes some fiddling to sell non-DRMed kindle books on an even platform. (To get them sent directly to your device, you need to whitelist the seller's email address in your kindle account settings, and the seller needs to email them to your special kindle email.)
I'm pretty unhappy with their price-matching terms, too. The IGDA (or was it some other industry body?) came out strongly against similar terms in their android app store.
I really like my kindle, and the kindle shopping experience, and yes, amazon probably deserve some reward for creating this market, but I'd like to see other storefronts able to compete on price and provide the same level of service.
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