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The Kindle has a brand new rival — Barne’s and Noble introduced the Nook e-Reader to compete with Amazon. At $259, it’s priced competitively too.

The Nook comes pre-installed with Google Android OS and will comes with a 3G SIM from AT&T.

Aside from that, there’s also a built-in WiFi. Internal storage is just 2GB but that can be bumped to 16GB via microSD card. Display is also 6″ just like the Kindle.

Amazon quickly responded and gave back $20 in rebates to all those who ordered the International version of the Kindle. It’s now just $259 too. Let’s not forget Sony has its own line of eReaders too.

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