Microsoft already owns a piece of Nook, having invested $300 million into the business in April 2012. According to the report, Microsoft would buy the digital operation, which includes e-books, movies, TV, comics, apps, and more.
Barnes & Noble has thrown in the towel and abandoned its Amazon-style Android strategy, finally agreeing to add Google's app store, Google Play, to the Nook tablet.
"It's not terrible to be number two," Passikof said. "But in both cases I think consumers are looking for higher degrees of innovation. It was only after Samsung and other companies came out with smaller tablets that Apple brought out the iPad mini. It was only in reaction."
Online publishing service FastPencil is announcing a new agreement with Barnes & Noble that will allow self-publishing authors access to premium placement in Barnes & Noble retail stores, online store, and Nook store.
Which means that some lucky self-publishers will …