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A "Kindle Color" would hurt the Kindle brand. Whenever I tell someone I have a Nook, they respond with "Oh, the color e-reader?" They don't even know an e-ink Nook exists.

Kindle == e-ink. Anything Amazon Tablet related should stay away from Kindle; closer to the movies and TV on demand.

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They could use the Pixel Qi screen and have something that is good for reading/ really long battery life but can also do video, color when necessary.

http://pixelqi.com/blog1/2011/01/10/ces-2011-from-a-pixel-qi...

I assumed this was what the article was talking about, instead it's just suggesting a Nook Color without needing the community supported software to access all the full functionality (which would be nice, but not amazing).

ZTE have already announced such a tablet, so Amazon could just use them as OEM if they've not already got something cooking in their labs.

http://pixelqi.com/blog1/2011/02/14/zte-introduces-7%e2%80%9...

of course nothing would stop them from having a Kindle and then a separate, full-featured tablet. As the Kindle moves towards a price point of $0 (http://news.ycombinator.com/item?id=2266193), it creates room for a premium product.

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