Kobo fights Amazon with the one thing it has that the giant doesn't: friends

The Aura HD is a great bit of hardware, but that's not where the battle of ereaders is being fought.

The 2003 film The Corporation assess the idea of corporate personhood, the legal fiction that allows companies to exist, and argues that the structures that keep them in place compel them to act in a way that, it claims, is psychopathic. But the partnerships displayed at the launch last night of e-reading company Kobo's new Aura HD device will hopefully end up disproving the claim. That, or there are a lot more sheep signing strategic deals with wolves than I thought.

Kobo is in town for the London Book Fair, and used the opportunity to launch its new ereader. The tech itself is fancy as hell: described by the company as being designed from the ground up for "passionate" readers, it's got an ultra-high resolution screen (slightly sharper than an iPad 4's, though at that stage, who's counting?), sharp industrial design, and a speedy processor that makes it feel faster than any e-ink reader I've used before. It's also got everything that we've come to expect as standard: a backlit touchscreen, wireless syncing, a built-in dictionary, optional fonts, and so on.

But it was the build-up to the announcement – a Steve Jobs-inspired "one more thing" at the end of a press conference – that I found most interesting. The elephant in the room was, clearly, Amazon, whose Kindle reader dominates the market. But the way Kobo is choosing to fight that dominance suggests a level of trust between companies which is rare to find in an industry as cutthroat and rapidly changing as this one.

Amazon is the business you don't want on your turf. Matt Yglesias described it as "a charitable organization being run by elements of the investment community for the benefit of consumers" and he's not far off. If it decides to compete with you, your options are dramatically limited: you can't undercut it, because it doesn't care about profits. You can't live in an under-served niche, because Amazon's scale lets it serve every sector out there. And you can't really pivot into a new business, because if you can, Amazon can too – and will.

But Kobo's strategy seems to be make use of the one thing Amazon doesn't have: friends. The distinction is clearest when it comes to retail partners. Stephen Clarke, the CEO-designate of WHSmith's, spoke about the chain's working relationship with Kobo. Following what he described as an "interesting courtship" – "a little bit of falling out, a little bit of hissy fitting, a little bit of 'it's not me it's you'" – the two companies are now selling Kobo readers in a shop-within-a-shop in WHSmith's Oxford Street branch, and plan to expand that to 100 shops around the country. And the deal is reciprocal: while Kobo gets to sell in WHSmith locations, the latter now has a white-label ebookstore where customers can buy Kobo books.

That's a far cry from Amazon's relationship with brick-and-mortar retailers, which is basically to make them cry. But there's also less of an air of menace in Kobo's relationship with publishers. That's a group which Amazon needs to keep onside – for now – because they do make most of the books which the company sells. But the company has made no secret of its desire to be a publisher itself, and has made several aggressive moves into the sector.

Again, contrast that with the presence of Stephen Page, the CEO of Faber and Faber, at the launch. Page spoke about his company's transformation as a result of the internet, with particular focus on the conversation it lets happen with readers. A data-sharing agreement has been worked out, and the two companies seem to be going forward with a far less passive-aggressive relationship than many.

But even if everything is smiles now, can it last? Kobo's CEO, Michael Serbinis, spoke about his expectation that the transition to ebooks would be a 25 year change. Big transformations have happened already, even in the three years the company's been working with WHSmith, but we still don't know what the end stage looks like.

Retailers clearly hope there is a space for them in that future, and Kobo is eager to convince them that's the case. But it's hard to believe that there won't be some point where the latter finds it easier to go alone – and when that comes, will a history of friendship mean anything at all?

The Kobo Aura HD. Photograph: Kobo

Alex Hern is a technology reporter for the Guardian. He was formerly staff writer at the New Statesman. You should follow Alex on Twitter.

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Former Irish premier John Bruton on Brexit: "Britain should pay for our border checks"

The former Taoiseach says Brexit has been interpreted as "a profoundly unfriendly act"

At Kapıkule, on the Turkish border with Bulgaria, the queue of lorries awaiting clearance to enter European Union territory can extend as long as 17km. Despite Turkey’s customs union for goods with the bloc, hauliers can spend up to 30 hours clearing a series of demanding administrative hoops. This is the nightmare keeping former Irish premier John Bruton up at night. Only this time, it's the post-Brexit border between Northern Ireland and the Republic, and it's much, much worse.   

Bruton (pictured below), Taoiseach between 1994 and 1997, is an ardent pro-European and was historically so sympathetic to Britain that, while in office, he was pilloried as "John Unionist" by his rivals. But he believes, should she continue her push for a hard Brexit, that Theresa May's promise for a “seamless, frictionless border” is unattainable. 

"A good example of the sort of thing that might arise is what’s happening on the Turkish-Bulgarian border," the former leader of Ireland's centre-right Fine Gael party told me. “The situation would be more severe in Ireland, because the UK proposes to leave the customs union as well."

The outlook for Ireland looks grim – and a world away from the dynamism of the Celtic Tiger days Bruton’s coalition government helped usher in. “There will be all sorts of problems," he said. "Separate permits for truck drivers operating across two jurisdictions, people having to pay for the right to use foreign roads, and a whole range of other issues.” 

Last week, an anti-Brexit protest on the border in Killeen, County Louth, saw mock customs checks bring traffic to a near standstill. But, so far, the discussion around what the future looks like for the 260 border crossings has focused predominantly on its potential effects on Ulster’s fragile peace. Last week Bruton’s successor as Taoiseach, Bertie Ahern, warned “any sort of physical border” would be “bad for the peace process”. 

Bruton does not disagree, and is concerned by what the UK’s withdrawal from the European Convention on Human Rights might mean for the Good Friday Agreement. But he believes the preoccupation with the legacy of violence has distracted British policymakers from the potentially devastating economic impact of Brexit. “I don’t believe that any serious thought was given to the wider impact on the economy of the two islands as a whole," he said. 

The collapse in the pound has already hit Irish exporters, for whom British sales are worth £15bn. Businesses that work across the border could yet face the crippling expense of duplicating their operations after the UK leaves the customs union and single market. This, he says, will “radically disturb” Ireland’s agriculture and food-processing industries – 55 per cent of whose products are sold to the UK. A transitional deal will "anaesthetise" people to the real impact, he says, but when it comes, it will be a more seismic change than many in London are expecting. He even believes it would be “logical” for the UK to cover the Irish government’s costs as it builds new infrastructure and employs new customs officials to deal with the new reality.

Despite his past support for Britain, the government's push for a hard Brexit has clearly tested Bruton's patience. “We’re attempting to unravel more than 40 years of joint work, joint rule-making, to create the largest multinational market in the world," he said. It is not just Bruton who is frustrated. The British decision to "tear that up", he said, "is regarded, particularly by people in Ireland, as a profoundly unfriendly act towards neighbours".

Nor does he think Leave campaigners, among them the former Northern Ireland secretary Theresa Villiers, gave due attention to the issue during the campaign. “The assurances that were given were of the nature of: ‘Well, it’ll be alright on the night!’," he said. "As if the Brexit advocates were in a position to give any assurances on that point.” 

Indeed, some of the more blimpish elements of the British right believe Ireland, wedded to its low corporate tax rates and east-west trade, would sooner follow its neighbour out of the EU than endure the disruption. Recent polling shows they are likely mistaken: some 80 per cent of Irish voters say they would vote to remain in an EU referendum.

Irexit remains a fringe cause and Bruton believes, post-Brexit, Dublin will have no choice but to align itself more closely with the EU27. “The UK is walking away,” he said. “This shift has been imposed upon us by our neighbour. Ireland will have to do the best it can: any EU without Britain is a more difficult EU for Ireland.” 

May, he says, has exacerbated those difficulties. Her appointment of her ally James Brokenshire as secretary of state for Northern Ireland was interpreted as a sign she understood the role’s strategic importance. But Bruton doubts Ireland has figured much in her biggest decisions on Brexit: “I don’t think serious thought was given to this before her conference speech, which insisted on immigration controls and on no jurisdiction for the European Court of Justice. Those two decisions essentially removed the possibility for Ireland and Britain to work together as part of the EEA or customs union – and were not even necessitated by the referendum decision.”

There are several avenues for Britain if it wants to avert the “voluntary injury” it looks set to inflict to Ireland’s economy and its own. One, which Bruton concedes is unlikely, is staying in the single market. He dismisses as “fanciful” the suggestions that Northern Ireland alone could negotiate European Economic Area membership, while a poll on Irish reunification is "only marginally" more likely. 

The other is a variation on the Remoaners’ favourite - a second referendum should Britain look set to crash out on World Trade Organisation terms without a satisfactory deal. “I don’t think a second referendum is going to be accepted by anybody at this stage. It is going to take a number of years,” he said. “I would like to see the negotiation proceed and for the European Union to keep the option of UK membership on 2015 terms on the table. It would be the best available alternative to an agreed outcome.” 

As things stand, however, Bruton is unambiguous. Brexit means the Northern Irish border will change for the worse. “That’s just inherent in the decision the UK electorate was invited to take, and took – or rather, the UK government took in interpreting the referendum.”