Cost too high and proprietary NOT good
Sony still insists on proprietary, dangling the vision of opening up later. They have thrown out this lure in many technologies along the way, but are slow to move away from proprietary standards.
Sony aspires to replicate Apple's iTunes success with e-books with their Connect Store. That design limits the market and further limits opportunities for (1) new publishers, (2) new authors and (3) new resellers to champion books.
The Treo and Windows Mobile devices can carry as many or more books without the limits of Sony, for less money and in a smaller package. Sony's reader costs less than $40 to manufacture at mature volumes so why is it being so greedy on margin and greedy with proprietary standards. Take out Sony's software and hardware for managing its proprietary store and the cost could go sub $25. Market needs a good, paperback sized sub-$50 device that people can put in Christmas stockings along with an SD card loaded with new books.
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