Steve jobs contacted the heads of all of the major publishing companies to standardize the price ebooks, so they would be the same price, no matter who you bought them from.
Retailers could take losses on selling them to get market share. When Steve Jobs released the iPad, he wanted to open a bookstore, but noticed that the digital book market, was the wild west. Amazon begun to aggressively discount all of the ebooks, so they were available for less, than the competition. Amazon had the market all to themselves in the next few years and then saw competition from the Sony Bookstore, Kobo and Barnes and Noble. The first Kindle came out in 2007 and was the first e-reader that generated media attention and sold the most units. I believe within the next few years Amazon might retire the Kindle altogether. A new CEO is in town and does not have the same attachment to books and e-readers that former CEO Jeff Bezos had. The person who has been in charge of the Kindle for the past decade has just left the company and retired. It is come to light that the Kindle is unprofitable and has been for a very long time. The Kindle is the most popular e-reader in the world and Amazon is one of the oldest companies, still making them today. Customers love the e-paper displays, since it is easy on the eyes, has long battery life and is the closest you can get to reading on real paper.
Amazon releases a new generation of e-readers every three or four years.
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