Except that everything I've read says that Amazon was losing money on their ebook sales. It was a loss leader for them. So if they were pressuring publishing companies to sell them books at a loss, and then selling those books at a loss, they were a deflationary pressure.
I agree it seems goofy that ebooks should cost more than paperbacks. On the other hand I'm starting to really appreciate not having to find more shelf space!
Everything I've read from people involved in publishing makes me think Amazon wants to replace the big publishers. Is that bad? Maybe, maybe not, but as both a reader and an aspiring writer, I want lots of publishing houses.
Amazon looses money on the Kindles, but not on the books.
For general reading like novels, history, etc I love my Nook. It is much more portable and handy and if I want to switch from one book to another it is a breeze.
Now, for textbooks and technical material (I am an IT professor) it is not so great and for those I prefer my traditional hard/soft bound books. I’ve had students who have tried etexts and most were not very happy with the usability.