The book may close on the #2 e-reader. Faced with continuing losses and declining sales, Barnes & Noble — the nation’s largest retail bookseller — will spin off its Nook e-reader unit into a separate company. With the Amazon Kindle and Apple and Android tablets becoming more popular, this new chapter for Nook may not have a happy ending.
“With the objective of optimizing shareholder value, the Company’s Board of Directors has authorized management of the Company to take steps to separate the Barnes & Noble Retail and NOOK Media businesses into two separate public companies.”
— Barnes & Noble press release, 6/25/14
A 2013 study by the Book Industry Study Group (BISG) put the Amazon Kindle in a dominating #1 position, with almost 40% of the U.S. market. Trailing tablets from Apple, Amazon and Samsung came the Nook, with about 10%.
“During the quarter that included last year’s holiday season, Barnes & Noble’s Nook business, which includes e-readers and e-books, suffered a 12.6% sales decline over 2011, bringing in just $311 million.”
— CNN, Feb 28, 2013
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Sources: Forbes, Barnes and Noble press release. Image credit: .
