Amazon Acquires Stanza iPhone e-Book App

By Calvin Reid -- Publishers Weekly, 4/27/2009 4:04:00 PM

Despite the popularity of the Kindle digital reading device, Amazon.com appears to be hedging its bets and has acquired Lexcycle, the company that produces Stanza, the e-book reading app for the iPhone.  Unlike the Kindle’s proprietary e-book format, Lexcycle’s Stanza app supports the e-pub format developed by the International Digital Publishing Forum and is generally accepted as the standard format for future e-book production.

Cinthia Portugal, a spokesperson for Amazon.com, said of the acquisition. “It’s very early days for e-books, and we believe there is a lot of innovation ahead of us. Lexcycle is a smart, innovative company, and we look forward to working with them to innovate on behalf of readers."

Although Amazon.com’s Kindle reading device has been a hit among consumers, Amazon is keeping a wary eye on consumer fascination with the iPhone (and the iPod Touch) and its use as a digital reading device. iPhone e-book sales are rising fast and Amazon recently released the Kindle on iPhone app, an application that allows Kindle owners to read their e-books with an iPhone. Despite the Kindle’s popularity, it’s still a black-and-white reading device that does not display photos or graphics particularly well. An affordable full color Kindle e-ink screen is likely years away. The iPhone’s high resolution screen, full color and easy use, coupled with Apple’s App Store, full of an ever-increasing number of iPhone e-book applications, looks to continue to provide tough competition for the Kindle.