Barnes & Noble Inc.
Prospects for rival Amazon. com Inc. and Apple Inc. in the fast-
Thanks to $605, the growing digital reader business has been greatly improved
Millions of investments in Microsoft
Not for the country.
1 chain bookstore, injection will help its Nook business to better compete with the top bookstore
Kindle ebook
Readers and iPad tablets have taken some of the pressure off Barnes & Noble's earnings on Nook.
It's also a good deal for Microsoft, which costs 1% of $60 --
Billion cash reserves to gain greater influence in e-commerce
Before Windows 8 operating software was widely expected to roll out later this year, the reader and tablet market.
Windows 8 will provide a Nook e-as part of the transaction-
The companies say the reader app.
Wall Street noticed this and Barnes & Noble's share price almost doubled before returning to $20. 75, up 52%.
Microsoft's share price has barely changed, rising three cents to $32. 01.
Software companies and retailers
Not long ago considered an unshakable industry leader, but recently lost some glorious companies
As part of the investment, Barnes & Noble will create a new subsidiary tentatively scheduled for Newco, said Monday.
Microsoft will make $300
The first investment of millions was changed to 17.
Newco holds a 6% stake in the company, so the company values the digital subsidiary at $1.
7 billion, exceeding the total market value of $1. 2 billion.
Microsoft said it also agreed to invest another $0. 305 billion over the next few years, mainly to help fund Newco's international expansion.
Analysts said the deal highlighted the importance of the digital book business as consumers increasingly turned to electronic channels to buy and read books.
Investors worried that Barnes & Noble had no capital to support e-commerce.
The reader business that competes with Amazon;
Nook is the fastest in the company-
Business growth, annual growth 64%over-
Annual sales surged in the last quarter.
Barnes & Noble Chief Executive William Lynch said the partnership would enable the New York company to "significantly expand" its digital business and reach hundreds of millions of users through the Windows platform.
For Microsoft, this partnership means access to a lot of digital content from Barnes & Noble
Colin Gillis, a technical analyst at BGC Financial, said it will need assets when it tries to become a bigger player in the tablet market.
"It's not a big investment for Microsoft, but it does help to make a big difference," Gillis said . ".
"It's not a success or failure for them.
It would be great if there was a return.
"Barnes & Noble has always played an important role in the e-commerce market.
Reader devices and more sophisticated iPad-
Like a tablet.
Black of the company-and-white Nook e-
Reader Control 13.
These devices accounted for 4% of the global market last year, making them second.
According to IDC, the most popular e-reader behind Amazon's Kindle.
Its Nook digital tablet is not available.
After iPad and other products, it accounts for about 5% of tablet sales worldwide.
Of the 2011 tablet makers, 68 million devices were sold, more than double the number of electronics
Readers all over the world
But by working with Microsoft, Redmond, and wosh.
Bob O'Donnell, device analyst at IDC, said that Barnes & Noble, the best-selling manufacturer of Windows operating systems, can see that its Nook reading software is installed on millions of new computing devices.
Any questions about Nook long
The term "viability" is no longer there, he said, noting that this partnership could help Barnes and Noble catch up with other lower-tier companies
Tablet maker.
"It was apparently filmed on Amazon's boat head and he said, 'Hey, we're real.
"So far, the sales of tablets running Microsoft Windows 7 have been very small," O'Donnell said . ".
But analysts expect Windows 8 to be available later this year on tablets and PCs from companies such as Dell Inc.
Lenovo Group Co. , Ltd. , Toshiba Corp.
Computer company Asus
A Microsoft spokesman declined to comment on specific devices that will run the Nook app.
Analysts also said they believed the deal showed that Microsoft was not interested in a large acquisition. and-
Network of physical stores.
"I think this is a vote 'no' on the Microsoft Store, and perhaps if the joint venture succeeds, executives will seek to invest in Bano, said Brian Sozzi, chief stock analyst at NBG Productions: "enrich the store with Microsoft elite products. ".
If the cooperation is successful, he said, "the whole company will get more investment from Microsoft . "
After 2011 of the turmoil, Barnes & Noble announced on January that it was considering separating the digital business.
The idea is still possible: on Monday, Barnes & Noble said it "intends to explore all the alternatives to the strategic separation of Newco.
"The company said it did not review the schedule and did not know if there was a rotation --
Turn off or create a stand-
Only one listed company will appear.
The partnership ended a patent dispute between Microsoft and Barnes & Noble over the use of Android on Nook, which Microsoft said violated its patents.
As a result of the settlement, both Barnes & Noble and Newco will have royalties
Under Microsoft's Nook e-patent authorization
Readers and tabletsandrea. chang@latimes. comdavid. sarno@latimes.
Michelle Maltais, a staff writer at ComTimes, contributed to the report.