Microsoft has reportedly offered US$1 billion to buy the digital assets of Nook Media, but will leave the digital operation that includes e-books, nook e-readers and Tablets with Nook.
TechCrunch has further reported that Nook could be discontinuing its Android based tablet business by the end of next year in favour of selling content to be distributed through apps on third party partner devices, though it is unclear whether Microsoft would own the devices.
Nook e-readers will however be spared from a one off discontinuation and would rather be phased out in a gradual, natural decline with the idea informed by the market appetite for tablets as all purpose devices.
Analyst say the move to acquire digital assets of Nook Media are natural after Microsoft announced plans to work with investors Barnes & Noble on its devices and content in April last year.
Already Nook has been creating content for Windows 8 devices and has received up to US$480 million in the deal that saw Microsoft acquire a 16.8 per cent stake.
Nook, which is a competitor to Windows 8 devices, has sold more than 10 million Nook devices and has seven million active subscribers with a Nook app available on every major platform, including Windows, Android and iOS.
The value for the company has however dropped from close to US$2 billion when Pearson invested US$85 million at a 5 percent stake in January with the company projected to make a US$360 million loss in 2013.
It is projected to return to profitability by 2017.
