Amazon who last week was offering their Kindle reader in Australia, at the same price as they sell it in the US market, has now admitted that they are set to slug Australians up to 40% more for the book and magazine content needed for their reader.

The book reader that has taken the US by storm is now available for pre-order in Australia for US$279 and will begin shipping on October 19.

The Kindle reader delivers content such as books and magazines over a wireless network similar to the Telstra Next G Network, originally Amazon  said that  foreign users would not be forced to pay extra for downloads – but it has now emerged that the internet retail giant charger higher prices for consumers inside Australia.

When Amazon executives were asked at the weekend, how much downloads would cost, an Amazon spokesman revealed that foreign customers – including those in Australia – would be paying a 40% premium than US buyer of their content.

“International customers do pay a higher price for their books than US customers due to higher operating costs outside of the US,” said the spokesman.

The Guardian newspaper reported that these comments are in strict contrast to earlier statements by the company, in which it had said specifically that “there are no additional fees for international customers”.

The shift is likely to raise questions over the future of the gadget – which goes on sale worldwide on October 19.