Amazon unveils newer, cheaper Kindle DX

The price war in the eReader space is getting more aggressive.  

Amazon has launched a revamped Kindle DX – the high end version of its eReader – with a marked 50 percent improvement in its display contracts and a significantly lower price - $379. That’s a $110 drop.

It’s the latest move in the growing battle for consumer's attention. Barnes & Noble kicked things off last week with the introduction of a $149 WiFi only nook. Amazon quickly responded, dropping the price of the original Kindle (which retains its 3G capabilities) from $259 to $189.

The DX is a large screen reader – boasting a 9.7 inch viewing area, versus the 6 inch screen on other readers and an expanded memory capacity, allowing it to hold more than twice as many eBooks.

The revised DX will begin shipping July 7, with pre-orders beginning immediately. (Older models of the DX have also had their price reduced to $379, which is a bit surprising as you’d expect Amazon to offer those for a bit less to clear the channel.)

The price cuts will put the various Kindle versions (as well as the nook) in a sweet spot for consumers and will likely make them even more of a must-have this holiday season. But both products remain under significant pressure from Apple, whose iPad (and included free iBooks app) is a retail smash and proving to be a viable threat to the eReader marketplace.