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Edition: U.S. Article Comments (0) Email Print Reprints Technology AOL mulls breakup, then merger with Yahoo Google takes on Amazon, Apple in e-books market LG Display, others face $928 million EU fine: source India wants BlackBerry access from companies PayPal suspends WikiLeaks donations account Google to buy anti-piracy software firm Widevine Huawei sets up cyber security center in UK Top papers to charge online, but how? Limewire music-sharing service to close Dec 31 More Technology news Read Euro zone worries pressure Wall St 10:11am EST Analysis: WikiLeaks stirs debate on info revolution 10:50am EST China's Hu tells Obama Korea tension could go out of control | 10:10am EST WikiLeaks lists sites U.S. says vital to interests 10:04am EST Exclusive: AOL mulls breakup, then merger with Yahoo 10:39am EST Discussed 70 Obama, Republicans in tax face-off at White House 59 Senate bid to renew ”middle-class” tax cuts fails 55 WikiLeaks plans to release a U.S. bank’s documents Watched Bejeweled bra exposed in NY Thu, Oct 21 2010 Playboy opens Mexican casino Sun, Dec 5 2010 Row over vote orgasm video Fri, Nov 19 2010 Green Business Google technology to aid forest efforts Google's new platform, Google Earth Engine, takes vast amounts of forest images from satellites and crunches it, allowing scientists to monitor forests from their own computers in minutes or seconds instead of the hours or days it took before. Full Article Special Report: Making forests pay in a warming world More Green Business news Google takes on Amazon, Apple in e-books market Tweet This Share on LinkedIn Share on Facebook By Alexei Oreskovic SAN FRANCISCO (Reuters) - Google Inc began selling digital books on Monday, intensifying the search engine's competition with Amazon.com Inc and Apple Inc and marking a significant push by the company to expand into the... Related News WRAPUP 1-Amazon, Ebay, Google going local Thu, Dec 2 2010 Google close to clinching Groupon deal: reports Tue, Nov 30 2010 UPDATE 3-Google close to clinching Groupon deal -- reports Tue, Nov 30 2010 Analysis: Spotlight trained on Google's cash pile Tue, Nov 30 2010 Google nears deal to buy Groupon: reports Tue, Nov 30 2010 Related Topics Technology » Media » iPad » Stocks The logo of Google Inc. is seen outside their headquarters building in Mountain View, California August 18, 2004. Credit: Reuters/Stringer By Alexei Oreskovic SAN FRANCISCO | Mon Dec 6, 2010 10:24am EST SAN FRANCISCO (Reuters) - Google Inc began selling digital books on Monday, intensifying the search engine's competition with Amazon.com Inc and Apple Inc and marking a significant push by the company to expand into the e-commerce business. The new online bookstore, dubbed Google eBooks, features 3 million titles, from newly released best-sellers to freely available out-of-copyright books, which consumers can store in a personal online library managed by Google and then read on any device. "All of your library is there at anytime; any device you pick up, all your books are present," James Crawford, the director of engineering on the Google Books team, told Reuters in an interview ahead of Monday's announcement. The electronic books market is currently dominated by Amazon.com, which helped establish the market with the release of its Kindle reading device in 2007 and has a roughly two-thirds share of the U.S. market, according to Forrester Research. Earlier this year, Apple entered the market, selling electronic versions of books that can be read on its popular iPad tablet PC. Google has an opportunity to offer electronic books to a vast segment of consumers who might not have been aware of electronic books, said Forrester Research analyst James McQuivey. But he noted Google would have a better chance of unseating Barnes and Noble in the No. 2 spot selling digital books, than Amazon. "The Kindle brand is solid and their devices are super-elegant, very cheap now, and their bookstore is second to none as far as bookstores go," McQuivey said. Google said its digital books are compatible with a number of reading devices, including the Barnes and Noble Nook and Sony e-reader, but are not compatible with the Kindle (save for titles in the public domain that do not rely on special digital rights management technology). Google, whose Internet search algorithm has made it the world's most popular search engine, has created a special algorithm to help it set the optimal price for its electronic books, said Crawford. "Our pricing strategy is to be competitive," relative to other electronic book offerings, said Crawford. But, he noted: "We did not come into this and decide we're going to capture market share by undercutting price." For many best-seller titles, he added, pricing is set by the publishers, to whom Google will in most cases pay 70 percent of the list price for each sale. For so-called non-agency books sold on Google's site, in which Google sets the price itself, Google will pay publishers 52 percent of the sale price. Google said it also has partnership with independent booksellers who will sell the titles on their own websites. While Google's experience in e-commerce is limited, some analysts believe that the transactional revenue from selling electronic books may be less important to Google than the breadth of online services it will be able to provide by offering books. "I think it's kind of critical for Google to make sure they're providing as much that keeps users engaged and on Google as possible," said Evercore Partners analyst Ken Sena, whose comments were based on earlier reports about Google's electronic book plans, which lacked some of the details of Monday's announcement. The introduction of the eBooks store comes several years after Google began an ambitious and controversial project to scan millions of library books, which resulted in litigation over orphan works, essentially books whose copyright owner is unclear. 1 2 Next Technology Media iPad We welcome comments that advance the story directly or with relevant tangential information. We try to block comments that use offensive language, all capital letters or appear to be spam, and we review comments frequently to ensure they meet our standards. If you see a comment that you believe is irrelevant or inappropriate, you can flag it to our editors by using the report abuse links. Views expressed in the comments do not represent those of Reuters. Comments (0) Be the first to comment on reuters.com. Add yours using the box above. 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