Kindle's China E-Book Business Ends: Why Amazon Struggled to Adapt (AI Translation)

Kindle中国电子书业务终止 亚马逊缘何水土不服

Amazon China's official website announced that the Kindle e-bookstore will cease cloud download services from June 30, 2024. E-books not downloaded by then will no longer be available, and Kindle customer service will stop supporting Chinese users. [para. 1] Earlier, in June 2022, Amazon China had already stopped supplying Kindles to distributors, and by June 2023, the eBook store had shut down, ceasing new eBook purchases. [para. 2]

Wu Yue, a user, received a notification about the gradual ending of Kindle-related services over the next two years and consequently downloaded over 30 books before the final deadline for cloud services. [para. 3] Amazon first launched the Kindle e-book reader in 2007, using e-ink screen technology, and in May 2011, eBook sales surpassed those of printed books on Amazon's platform. [para. 4] By 2012, Amazon began offering Chinese e-books, and by 2013, the Kindle entered the Chinese market. From 2013 to 2018, Amazon sold millions of Kindles in China, making it Amazon's largest global market for Kindle devices by 2016. The Kindle China e-bookstore had nearly 700,000 books by 2018, a tenfold increase from 2013. [para. 5][para. 6]

Amazon struggled with localization and faced changing reading habits in China. Mobile phones became a preferred reading device, with a 2023 survey indicating 78.3% of adults read on mobiles, while only 25.3% used e-readers. [para. 7] Although Amazon's global e-book service remains dominant with an expected 90 million users by the end of 2023, the exit from the Chinese market impacts users by disrupting Amazon’s online services like file synchronization and "Send to Kindle." [para. 8][para. 9]

Methods to continue using Kindle accounts include switching to accounts from other regions, though this may involve loss of data and higher prices for Chinese books. [para. 10] Amazon’s strategic adjustment in China resulted in closing its online store in 2019 and now withdrawing Kindle. Despite these changes, Amazon claims a long-term commitment to China, continuing other businesses like Amazon Global Store and Amazon Advertising. [para. 11][para. 12][para. 13]

Efforts to cultivate electronic reading habits in China included localizing software and collaborating with publishers but faced issues in localization, leading to reduced willingness to pay for e-books. Users like Li Qiu found domestic novel apps more convenient. [para. 14] Despite acquiring rights to popular works, Kindle lagged behind domestic platforms specialized in online literature. [para. 15] Market challenges were further compounded by a younger demographic's lower willingness to pay for content. [para. 16][para. 17][para. 18]

Digital reading's space is limited, impacted by short videos and fragmented reading habits. Short video platforms occupied 32% of users’ time in 2021, affecting reading time. [para. 19] Post-Kindle, China's digital reading market remains strong, with 570 million readers and a market revenue of 56.702 billion yuan in 2023. Social e-reading apps like WeChat Reading have also disrupted the closed reading model of devices like Kindle. [para. 20][para. 21]

Despite the decline in e-reader usage, the market segment is growing, with significant increases in sales of e-paper tablets globally and in China. Kindle’s exit has opened opportunities for domestic e-reader brands like iReader, Hanvon, and Boox, which have seen rapid growth. Hanvon, for example, experienced a 65-fold increase in sales between January and April 2024. [para. 22][para. 23][para. 24][para. 25]

Ultimately, the market share vacated by Kindle allows domestic brands to achieve significant growth, reshaping the landscape of e-reader sales in China. [para. 26][para. 27]