An electronic reader called the Nook is set to be introduced by Barnes & Noble today.
The Nook costs $260, but includes an ability to lend digital books to friends and also to use wi-fi to download books. That puts it in a different league from the Kindle.
Barnes & Noble already sells digital books that can be read by notebooks, iPhones and BlackBerries, but the Nook will also be able to read a large number of Google books too.
The device will be sold in Barnes & Nobles stores and will also be available from nook.com.
According to the New York Times, the unit will have color touch screen controls but the reading display will be gray and white.