I do agree, but I don't think it was undeserved. They had a chance to replace a device that was considerably less durable than advertised, but refused to do so.

Judging by other reports in this thread (and other good things I've heard about Amazon's customer service), there's a decent chance they would have replaced it if he'd feigned ignorance and claimed it "just stopped working" - which means he told the truth from the outset.

His offer of a $400 settlement seems like a very reasonable number (I assume he had to pay to replace the ebooks he'd bought for it, plus the time without the device, and the $200 he'd paid for the replacement).

The only mistakes were on Amazon's part: selling an unreasonably delicate product, presenting evidence that supposedly proved its durability, and failing to replace it when it didn't live up to their claims.

A replacement device plus $200 seems very fair to me.