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Amazon.com has announced a slimmer version of its electronic reading device, Kindle 2, with new syncing technology and longer battery life.

Amazon will begin shipping the new Kindle Feb. 24. Kindle 2 will cost $359, same as the previous version. It includes 2GB of memory, which will hold up to 1,500 books. The original Kindle came with 180MB of onboard memory, or about 200 books. Owners of the original Kindle who order the revamped device before midnight Tuesday will receive first priority.

“Today, more than 10% of units we sell are Kindle books,” Amazon founder and CEO Jeff Bezos said at a press conference Monday at New York’s Morgan Library.

“That’s an astonishing fact when you consider we’ve been working on physical book sales for 14 years and Kindle book sales for only 14 months.”

The 10.2-ounce successor to the first Kindle electronic book reader is thinner than the leading 3G smartphones, Bezos says.

A six-inch, 600×800 electronic paper display includes 16 shades of gray, compared to the 4 shades available on the original Kindle. Like its predecessor, Kindle 2 does not use backlighting in an effort to eliminate eyestrain and glare.

Bezos showed how The New York Times has been modified to provide a lede with a taste of the story on the first screen, making it easier to make a quick decision about whether to read the full text or skip to the next screen.

Kindle 2 uses the same wireless delivery system as the original Kindle — Amazon Whispernet. It uses Sprint’s EVDO data network to download books. A PC, Wi-Fi hot spot, or syncing is not required. Amazon pays for the wireless connectivity on Kindle 2 so books can be downloaded in less than 60 seconds — with no monthly wireless bills, data plans, or service commitments.

Analyst Mark Mahaney projected the company sold 500,000 Kindles in 2008, based on the number of device activations disclosed by Sprint. That would bring revenue from Kindle to around $153 million. That’s less than 1% of Amazon’s $19.2 billion total sales, but enough to make the product line profitable, analysts say.

There are lots of free ebooks for the Kindle. Amazon’s Digital Text Platform makes it fast and easy to self-publish on the Kindle. The tool lets you upload and format your books for sale in the Kindle Store (FAQ). As a publisher, you receive a set percentage (see their Terms and Conditions) of the list price that you set yourself. Typically, Amazon will pay you, for each Digital Book they sell, a royalty equal to 35% of the Suggested Retail Price of the digital book.

Last week, Google announced a version of its Book Search that’s compatible with the iPhone and iPod touch. It gives users access to more than 1.5 million public-domain books. An iPhone application, Lexcycle’s Stanza, has been downloaded at least 365,000 times, according to October reports.

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