Last week Amazon.com, Walmart.com, and Target.com embarked in an online price war over the pre-sale of new hardcover, bestselling books. While the retail price for these books is typically $25–35, all three of these retailers are selling them for between $8.98 and $9.00.

A while back, I gave my impressions of the Kindle 2 after one week of use. In that post, I attempted to focus on what I liked about Amazon’s latest eBook reader. I also said that “I still don’t think this is the device that will dramatically change the game for publishing.”

For the most part, Amazon addressed the problems with the original Kindle. However, they still have a ways to go if they are going to capture the interest of the majority of readers. Here’s my list of what is still missing:

It’s no secret that I am a big fan of the Amazon Kindle 2. However, whenever I write about it (as I did recently here and here), I always have someone who says, “I will never convert to an eBook reader. I just love the feel of a book in my hands.”

Last week I “unboxed” the Amazon Kindle 2 in a short video on my blog. I also shared my first impressions. I have now used the device for about a week, so I thought I would share my thoughts in a little more depth.

I still don’t think this is the device that will dramatically change the game for publishing. However, I do believe it is another step in the right direction. I also believe I have more clarity on what is still missing and where e-books are going. I plan to discuss these topics in future posts.

As you may know, the Amazon Kindle 2 has the ability to read books out loud. The text is read by the computer, so it doesn’t come close to a true audio book read by the author or an actor. However, I have found it to be surprisingly useful.

Yesterday, I received my copy of the Amazon Kindle 2 [affiliate link]. Gail and I are on vacation, so I had them send it to me here. I figured this would be good time to get acquainted with the new device, before I head back to the hustle and bustle of work. In this video, I unbox the Kindle 2 and share my first impressions.

The Amazon Kindle has sparked (pun intended) a great deal of debate. It seems that people either love it or hate it. Me? I’m probably somewhere in the middle. Despite its obvious shortcomings, I think it’s a giant step forward, and I want to see it succeed.

But I think the device has a ways to go before it creates the kind of seismic shift that the iPod created in the music world. In order for an eBook to succeed, it must incorporate four essential components. I have listed these in priority order.

The Amazon Kindle is not the ultimate eBook reader, but it is a giant step in the right direction. After using one heavily over the last 24 hours, I have found much that I like, things I don’t like, and a clearer vision for what the next eBook device should include.

Interestingly, most of the people complaining about the Kindle have not even tried it. It is almost as if the mere existence of the device—and it’s possible impact on traditional books—affects them in some strange, primal way.

The book, as we know it today, will eventually die. It won’t happen all at once. And it won’t happen immediately. But, in my opinion, it is inevitable. Why? One word: efficiency.

The essence of technology is that it makes things more and more efficient. It automates processes—or completely eliminates them. As it does so, it takes costs out of the system. Once it is unleashed, it generally can’t be stopped.

Since I wrote my initial post last night, Amazon’s Kindle page has gone live. If you don’t do anything else, go to the page and watch the basic intro video. (If you scroll down, you’ll see a larger version of the intro video.) It looks even more interesting than I thought. It has certainly come a long way since I first saw the device 18 months ago.

As of today, Thomas Nelson has 668 titles available for Kindle download. Bob Edington, our VP of Internet Sales, tells me that many, many more are on their way. (Evidently, Amazon is trying to catch up with the backlog.) Just to put this into perspective, Zondervan, the second largest publisher in our space, has 53 titles. Tyndale, the third largest publisher in our space, has 57.