Tuesday, November 20, 2007

E Ink puts the face on Amazon's new e-reader

Amazon made a big splash yesterday with the release of its electronic reader, called Kindle. But behind the brand name of the $400 device lies the technology of Cambridge-based E Ink Corp., company officials report.

The device, which enables users to download and read print documents such as books, magazines and newspapers via a networked device, includes E Ink's Vizplex technology. Amazon did not release any sales projections for the device, and financial details of the deal with E Ink were not provided.

Since its founding in 1997, E Ink has been a favorite of investors, raising more than $120 million in funding for the development of electronic reader displays. Investors include venture firms such as Eastward Capital, FA Technology Ventures and Solstice Capital as well as corporate investors such as Intel Capital Corp., Motorola Corp. and Toppan Printing Company Ltd. of Japan.

However, the e-reader market has yet to catch on the way some predicted, and as of early 2007, the company had not reached profitability.

Amazon's major competitor in the space is the Sony Reader, which also uses E Ink technology.

E Ink also makes displays for other types of devices, including watches, cell phones and computing devices, according to company officials.