lowers price of 3G Kindle with ads lowers price of 3G Kindle with ads has created a 3G version of its cheapest Kindle after it become the company’s bestselling e-reader.

The internet retailing giant announced that it was selling Kindle 3G with Special Offers in "response to customer requests". But the move has been widely interpreted as a reaction t cheaper e-readers being announced at Book Expo America by Barnes & Noble and Kobo.

The 3G version will be sold for $164. Last month, released the Kindle with Special Offers onto the market, which at $114 was the Seattle-based retailer’s cheapest e-reader.

Jay Marine, director at Amazon Kindle, said: "Kindle is the bestselling e-reader in the world. It's been just six weeks since we introduced the new $114 Kindle with Special Offers, and already customers have made it the bestselling member of the Kindle family. In response to customer requests, we're now making these money-saving special offers available for Kindle 3G."

The Kindle with Special Offers includes ads which appear on the device's screensavers and at the bottom of its homepage, but do not interfere with reading by appearing in Kindle books.

Last week, announced it is now selling more Kindle books than paperbacks and hardbacks combined, and its UK business shifting twice as many e-books as hardbacks.