Amazon has figured out a way to reduce the price of the Kindle by putting advertisements on their popular e-reader. Their new Kindle with Special Offers is the same 3rd generation Kindle that retails for $139, but it has a cheaper $114 price tag which is subsidized with advertisements. In particular the ads, or Special Offers will show up as screensavers and on the bottom of the device’s homescreen. To further sweeten the deal, for the first few weeks that the device goes on sale, they’ll also be offering a $10 for $20 Amazon.com Gift Card, $1 for an album in the Amazon MP3 Store, and a $100 Gift Card with a new Amazon Rewards Visa Card.
We’re not sure if a $25 discount is enough to entice people to accept ads on a personal device, but we cant help but wonder if more manufacturers will follow suit and start offering discounts on devices in exchange for pushing ads onto them.