Amazon launched in 2007 the Kindle ebook reader device and Kindle online bookstore. Kindle devices were deeply integrated with the functionality of the Kindle bookstore and were incompatible with the books purchased from competing digital bookstores. The choice to make Kindle devices incompatible…

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would be profitable for Amazon if sales of Kindle devices were the main source of profits for its Kindle business.

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would be profitable for Amazon if Kindle bookstore sales were the main source of profits for its Kindle business.

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was necessary given that competitors devices were also incompatible with Kindle bookstore purchases.

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was likely adopted to reduce the costs of Kindle devices.

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Amazon launched in 2007 the Kindle ebook reader device and Kindle online booksto...

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