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Amazon attempting to launch subscription e-book service

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Amazon tablet hitting stores later this year

Amazon is reportedly trying to start a digital e-book service that users will subscribe to for an undisclosed amount every year according to The Wall Street Journal. The service is said to similar to Netflix. All of this appears to just be in the planning stages. Amazon is believed to be launching its first tablet sometime this year and access to thousands of books for a flat rate would certainly be an incentive to get people to use Amazon’s Kindle service.

Amazon is also running into some opposition from publishers regarding this kind of service. Publishers are worried that this kind of all-you-can-eat access to digital books will cannibalize sales of individual books. Much like Netflix, Amazon may have to pay publishers a large sum of money to alleviate their concerns.

Speculation around the web regarding this subscription service points to a possible tie-in with Amazon Prime. Amazon Prime is a $79 a year service that offers members free 2-day shipping and access to Amazon Prime instant videos. The theory is that the more Prime members Amazon has, the more likely those customers will purchase products from Amazon in greater numbers.

Via [WSJ] Read [Reuters]

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