The State Department has signed a no-bid, $16.5 million one-year contract with Amazon to provide Kindle Touches -- 2,500 of them to start, preloaded with 50 titles each -- for its overseas language-education programs. So why has the government decided the Kindle is the best e-reader — and what is Amazon providing for all that money?
In a document justifying the no-bid contract, the State Department says it’s identified “the Amazon Kindle as the only e-Reader on the market that meets the Government’s needs, and Amazon as the only company possessing the essential capabilities required by the Government.” It has international 3G, text-to-speech features and a long battery life, which “other e-readers such as the Barnes and Noble Nook, the Sony Reader Daily and Kobe [sic] e-Reader cannot provide.” Less clear is why 2,500 Kindle Touches are worth $16.5 million. The Kindle Touch 3G is $189; multiplied by 2,500 (which is the figure to start in the first year), that’s $472,500. I’ve asked the State Department for elaboration, but according to the agreement, Amazon is responsible for shipping the Kindles overseas, providing 24/7 customer service (something a smaller company, including Barnes & Noble, might have had trouble handling), sharing data on how the Kindles are used to access content and pushing serialized content to the Kindles regularly. Amazon is also responsible for disabling “standard features, as requested by DoS, for the device such as individual purchasing ability.”