Amazon survive the iPad threat: Kindle 3 selling like hot cakes

Many thought the iPad would spell the end of the Amazon Kindle when it was released, however these reports have proved to be wide of the mark.

The Apple tablet which was launched in April has actually helped expand the market for digital books. Sales of the Kindle are expected to rise 140 percent this year giving total figures over 5 million. This has been helped in part by the Amazon Kindle applications for the iPad and iPhone which let people read and buy books from the Amazon store to read on their Apple devices.

The Apple devices are actually a portion of the driving force behind the growth. A survey of 500 iPad users by researchers found that 31 per cent of Apple users are reading ebooks on the Amazon application rather than the iBooks Apple created program. This is due to the wider book selection and much cheaper prices. The best selling Stephen Fry book for instance is half the price on the Amazon store when we last looked.

The report, from Cowen and Co says that the iPad is not having a negative effect on the Kindle device or book sales from Amazon store. In fact the adoption of tablets will boost Kindle ebook sales, especially since 20 percent of Kindle e-book readers do not own a Kindle product. The report also details that Amazon should have 76 percent of the digital book market this year, compared to Apple's small 5 percent.

Kindle 3 sales are strong, as people learn the differences between standard backlit and E-Ink technology, a point KitGuru raised in our recent review of the device.

KitGuru says: It is healthy to see multiple tablets selling well, even if they are targeting different markets. 2011 will be a ‘make or break' year as BlackBerry, Microsoft and other manufacturers bring products in a head to head against the iPad

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