It seems to me that a price war sparked by Borders is the least likely outcome, but perhaps I’m missing something!
For consumers, the entrance of Borders into the e-book marketplace may mean lower prices on some titles. Although five of the six major book publishers have converted to an “agency” pricing model, setting their own retail prices, Bertelsmann AG’s Random House publishing group and many smaller publishers still employ the traditional wholesale model—meaning Borders could choose to discount some titles aggressively from these publishers in a bid to drive traffic to its website.
PS: Searching for a good nae for these link posts. I think in future I’ll hold off on Go Read This except for great posts, but Quick Links or Link Post seems a bit lame all the same!