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I think it is more of what appears to Amazon and other vendors' to be a denial of service attack. For my uses, the last large batch of books I got was a Humble Bundle which was large enough I tried the batch download and it stalled very rapidly. With the timeout required for the DOS block to expire, it was simply faster and easier to do individual updates.
During my testing on Amazon, I once triggered a simultaneous download of 17 Kindle and Fire firmware updates. The total download speed dropped from ~750Mbps to <1Mbps within 30 seconds and eventually all 17 downloads timed out.
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