Apple Tablet March 2010 Launch Book Publishers Cut Deals

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Book publishers who are trying to control the sale of e-books into Australia are now in discussions with Apple re the supply of e-book content for a new tablet device that Apple is tipped to launch in the second quarter of 2010.Apple has also had discussions with several Australian publishing groups re the supply of local content, say sources. The new Apple device is set to take on the Sony e-book reader and the Kindle from Amazon.

According to Reuters, European analyst Yair Reiner of Oppenheimer wrote that the device will cost around US$1000, and Apple hopes to sell 1 million per month, after a release in March or April.

The device will feature a 10.1-inch multitouch LCD screen; Apple is also reportedly offering book publishers a more generous revenue cut than the one offered by Amazon’s Kindle. A more expensive version of the device will have an OLED screen developed and manufactured by LG Display.

SmartHouse first tipped that Apple was looking at delivering an e-book reading capability for its new tablet 12 months ago.

Insiders are saying that Apple will need at least 5-6 weeks of inventory before going live. SmartHouse has been told that long-time Apple partner Foxconn has already placed orders for millions of components set to be used in the new device.

Reuters reports that Apple has approached book publishers to distribute its content electronically and has offered them a revenue cut of 70 per cent without requiring exclusivity, Reiner told the news service.

He said that compares favorably to the Kindle’s 50 per cent deal, and that Kindle only offers a 70 per cent cut to publishers that give Amazon exclusive rights.

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