But the price point for the service may be too high for customers, said Jennifer Kent, a senior analyst with Parks Associates.

"Amazon's difficulty will be its pricing model," Kent told us. "We estimate that Amazon sells its e-books for an average price of $7.50 each, and most Kindle users only read one book per month. The potential market for this relatively expensive subscription service, then, might be too small to sustain the service."

From the article "Amazon Launches Kindle E-Book Subscription Service" by Jef Cozza,

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