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Why Amazon needs Kindle 2.0, from two ZDNet bloggers, is a response to—guess what?—Why Amazon Doesn’t Need Kindle 2.0 in Forbes.

Josh Taylor and Andrew Nusca correctly say that Sony can catch up with the Kindle on features such as wireless downloads. And they also point to the Sony’s PRS-700, with backlighting and a touch screen. Wisely they even suggest that the company could sell more of the things with a snappier name.

Plastic Logic: The real threat?

But here’s what the Taylor-Nusca post leaves out—the possibility of the Plastic Logic e-reader (see YouTubes) or PixelQ screen technology turning into game changers. The much-delayed little Readius, blending e-reader and cellhone-ish features, is another one to watch even though I don’t think it’s going to hurt the Kindle as much as the others could in time. Pixel Qi’s display, remember, will be dirt-cheap to crank out in existing factories set up for LCDs and it will offer something that neither Sony nor Amazon does right now: color.

But Pixel Qi’s tech won’t be on the shelves until ’09, so the real Kindle threat could potentially be from the Plastic Logic machine, at least in the dedicated reader category. The PL device will have wireless, just like the Kindle—let’s hope that this can lead to a truly seamless book-buying experiences on another platform, so this isn’t Amazon-only.

Some are dismissing the Plastic Logic reader as a mere prototype, but if the company is correct, and, no I can’t verify this, the tablet will be out in the first half of 2009—soon enough for Amazon to feel some pain if it doesn’t release a Kindle 2 next year. An MIT Technology Review article even mentioned a January launch, although I suspect that’s been pushed back. From the Plastic Logic itself:

The Plastic Logic reader supports a full range of business document formats, such as Microsoft Word, Excel and Powerpoint, and Adobe PDFs, as well as newspapers, periodicals and books. It has an easy gesture-based user interface and powerful software tools that will help business users to organize and manage their information. Users can connect to their information either wired or wirelessly and store thousands of documents on the device. The reader incorporates E Ink technology for great readability and features low power consumption and long battery life…

Plastic Logic doesn’t mention the range of content choices, but if publishers can get behind it and iPhone-related products such as Stanza, then the threat of an Amazon or Apple monopoly of e-books could be considerably reduced. ePub is key here. Let’s hope that the IDPF can address ePub’s deficiencies and not let problematic DRM distract it from the main game, e-book format standards.

Let’s consider other issues, vis a vie the Kindle:

Screen size: Plastic Logic’s display is 8.5 x 11, a vast improvement over the Kindle’s six-inch-diagonal  screen.

Price: Expected at one point to be in the general range of the Kindle’s. The company is officially mum on price.

Ruggedness: You reportedly can whack the Plastic Logic with a shoe without the device suffering damage. Imagine the advantage of shatterproof construction and a large screen for K-12 and other ed-related apps. Unlike the Kindle, the Plastic Logic machine can display textbooks illustrations in detail, although it, too, has the limits of monochrome for now. Color won’t be along for a few years.

Interface: The Plastic Logic uses a touch screen, unlike the Kindle. With a quick swipe you can turn pages.

Content: We know that Plastic Logic has been in touch with newspaper and magazine publishers and—I would hope—people in the book and e-book industry. Once again, fingers crossed on format issues. May the Plastic Logic device do ePub!

Wireless issue: The Plastic Logic machine will have wireless, as noted. I don’t know if this will be WiFi or a Kindle-style approach that lets you hook into a bookstore via cellphone-style wireless.

Important caveat: Remember, I have only seen the Plastic Logic device in videos. Perhaps when I try one out in person, I’ll run across a deal-breaker. I’d welcome people’s thoughts on the PL’s negatives, not just the positives.

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