An ad deal with AT&T is allowing Amazon to lower the price bar on its Kindle 3G from $189 to $139.
In a statement, Amazon said that it is launching its Kindle 3G with Special Offers with AT&T as a lead sponsor. This ad formula enabled Amazon to offer its Wi-Fi Kindle at $114.
See the trend here? Toss in ads, subsidize the device and lower the price. A $99 e-reader won't be a stretch in the near future.
AT&T will offer deals and sponsored screensavers. Another key point for AT&T: It will also make money from the wholesale wireless connections on the back end.
Ralph de la Vega, president and CEO of AT&T Mobility, said that the Kindle 3G is the "the fastest-growing connected device on the AT&T network."