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Well it's a viable market to be in. I keep reading how more and more ereading is on tablets/phones these days with folks predicting dedicated ereaders will dwindle to a small niche.
Even if that doesn't happen making ebooks effectively an app business probably reduces CS costs a bit. I think it's about ease of use and the casual/mainstream consumer. It's telling that they use the same brand (Blinkbox) for movies/tv, music and ebooks. They sell devices and they sell the content to use on them.
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