Amazon has announced that they are going to be building their own Ebook reader. It will be an E-Ink device and will presumably link up very nicely to Amazon.com to let you buy books.
This is a good, natural progression for Amazon - though I think they should just partner with another firm like iRex and put their heads together instead of compete. If the photo in the story I linked to is what it will really look like - its not going to be winning any beauty contests.
But again, we'll see. It looks like a monochrome eink device - which is pointless to me, and you can see my other thread about ebooks here.
And I still think Apple needs to be getting into this market... With the iPod mania still bubbling, an e-reader device would be an easy sell to a lot of their market - and could take advantage of their distribution system they already have in place. Most books would be even smaller and require less infrastructure than a song, and could fetch a lot more money.
But I'm glad to see Amazon jumping in - perhaps the market is finally ready for something that I've been waiting on for over a decade.