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Yes, I'm sure the Big Pubs will still be able to sell their PD e-books in the Kindle store...
Actually, Amazon should have known that was what was going to happen regarding PD titles. They act as if they're surprised that the public has used the Kindle store as they have.
(But I doubt they really care about the DTP system at all. Based on the amount of thinking and care that they've put into the system, I expect DTP is there solely to pull more consumers in through their suddenly-self-published authors. At some point, Amazon will likely make more stringent demands on indie publishers to use their site, or cut them out altogether, in favor of the Big Pubs. And any excuse will do: Excessive "pirated" works; quality issues; lack of cost controls; or a just plain "failed experiment.")
A lot of this could also be due to the growing animosity towards American publishing, via Amazon and Google, by the rest of the world. Amazon may feel the absolute need to isolate itself for protection's sake, and finds that it can no longer maintain a European connection to the old MobiPocket.
As Daithi hinted, it could also be a step to make legal actions against transgressors easier, making sure they do not have to go through foreign courts...
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