E-Reader Maker IRex Files For Bankruptcy

Is the e-reader market about to get less crowded? E-Reader maker IRex Technologies has filed for bankruptcy, citing disappointing sales of its consumer device in the U.S. CEO Hans Brons tells a Dutch financial publication that sales of the company’s iRex DR800SG, which went on sale in February, are below expectations and the company has run out of “working capital.”

The DR800SG — which retails for $399 — got a lot of attention for its “open” model, which gave publishers lots of control over how their content was distributed; unlike the Kindle, for instance, publishers could set their own pricing. The company also has distribution deals with Best Buy and Barnes & Noble.

But the device — which lacks much brand recognition — doesn’t seem to have caught on with consumers. It likely didn’t help that its debut was repeatedly delayed and thus missed out on the critical holiday sales season. (Via Publishers Weekly).