Yesterday was a Big day for E-readers. We saw the nook drop to $149.99 (WiFi only) and $199.99 for the 3G model. The Kindle 3 was hovering around $259.99 but made a significant leap to $189.99 at the news! Keep in the mind the kindle comes packaged with 3G regardless of price-point. ereader1 This is big news, and greatly reduces the margin each manufacturer takes on the device sale. On both devices, data is offered for free. We all know from personal experience that data isn’t cheap. We also saw from a previous teardown (Kindle 3) – that these devices are NOT cheap the build. The BOM on the Kindle 3 we took apart hovers around ~$200. How is Amazon going to make money you may ask! Book sales of course! The Kindle is a promising platform, Apps will definitely extend the Hardware Value proposition in the near future. Not to mention seamless integration with your BlackBerry, iPhone, Desktop and iPad. Amazon has really built an interesting business model and content network – if Dr.Wreck was to jump on an e-reader bandwagon it would definitely be Kindle’s. Competition from high-cost, multi-purpose devices will definitely drive the cost of e-readers down over the next year or so. At phonewreck, we feel it’s only a matter of time before these things are offered for a few bucks, or the purchase of 10-20 e-books. Wouldn’t that be nice? You may still think, “$200 for an e-reader is way too much, I’d rather go for an iPad” – Dr.Wreck’s opinion? You probably wouldn’t take the iPad to the beach.