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The maker of a once-hyped e-reader composed of plastic has ended plans to market the device after a sharp drop in the price of Amazon.com Inc.'s (AMZN) Kindle.
Plastic Logic, a startup firm based in Mountain View, CA pulled the plug on its Que e-reader in a widely expected move late Tuesday. The company postponed the release date of the Que several times and canceled preorders in June, triggering speculation that the device would never reach the market. Wall Street Journal reports.
The Que was supposed to be released early this year, but at a starting price of $650, it was unlikely to generate sufficient sales. Consumers can now buy an Amazon Kindle for as little as $139 or spend $500 on an Apple (AAPL) iPad tablet computer that's more powerful but not much bigger than the Que.
Made of high-grade and innovative plastic technology, the Que drew lots of attention in 2009 as the market for e-readers took off. Yet Amazon has cut the price of the Kindle several times since then -- to as low as $139 for a Wi-Fi only version from a high of $359.
"We recognize the market has dramatically changed, and with the product delays we have experienced, it no longer makes sense for us to move forward with our first-generation electronic-reading product," said Plastic Logic Chief Executive Officer Richard Archuleta in a statement. "This was a hard decision, but is the best one for our company, our investors and our customers."