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Chronicles

The story behind the story

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Amazon plans to stop supplying Chinese retailers with Kindles, will close the e-bookstore in China on June 30, 2023, and remove the Kindle app in 2024

Amazon.com (AMZN.O) said it will stop supplying retailers in China with its Kindle e-readers from Thursday and will shut its Kindle e-bookstore …

Reuters Brenda Goh

Context & Ripple Effects

Amazon had already withdrawn its China marketplace after struggling to establish a foothold, while retaining AWS and Kindle sales. The Kindle exit therefore removes one of the consumer-facing businesses that remained after that earlier retreat.

The later plan to close Amazon's China Appstore extends the pullback from retail into digital distribution. Together, the moves narrow Amazon's direct consumer channels in China rather than merely ending hardware shipments.

First-order effects

  • Chinese retailers lose Amazon as a Kindle supplier immediately, while the China Kindle e-bookstore is scheduled to close on June 30, 2023 and the local app is slated for removal in 2024.
  • Amazon relinquishes its China-specific Kindle hardware, store, and app distribution channels on separate timelines.

Second-order effects

  • Amazon's China consumer offering becomes more dependent on the services it retained after the marketplace withdrawal, as Kindle can no longer serve as a direct retail and digital-content touchpoint.
  • The subsequent Appstore closure shows the Kindle shutdown was followed by another reduction in Amazon-operated consumer software distribution in China.

Third-order effects

  • If Amazon continues to retire discrete consumer products—as seen in its later Kindle Newsstand shutdown and planned Kindle Vella closure—its digital-content strategy will increasingly favor fewer, more tightly maintained services over standalone storefronts and formats.

The trend: Amazon is narrowing consumer-facing distribution where individual retail and digital-content services no longer fit its operating footprint, while retaining selected businesses elsewhere.

Discussion

  • @jchengwsj Jonathan Cheng on x
    Amazon said it will stop supplying retailers in China with its Kindle e-readers and will shut its Kindle e-bookstore in the country next year, joining LinkedIn, Yahoo and Airbnb in pulling back from the Chinese market. @brendagoh_ https://www.reuters.com/...