Borders will bail from its Amazon contract

Amazon has been handling Borders' online operation for five years, but now Borders wants out.

Will Borders launch its own third-party bookselling site? Let's hope so.

In my humble opinion, one of the reasons Amazon has made things so unfavorable to its Marketplace sellers in the past few months is it has no real competition for online used book sales. Amazon has a virtual monopoly, and in that unhealthy atmosphere, it has the freedom to squeeze its third-party sellers.

However, we should all remember that things change fast on the Internet.

My thinking is, Amazon has forgotten that its two main sources of profits are:

1. Book sales

2. Pro-Merchant sellers

Right now, it seems bookselling and Marketplace (the only things it's gotten right yet) are Amazon's last priority. Amazon should be trying to enhance what works, rather than kill the goose that laid its golden egg.

Anyway, here's to competition!