NEW YORK, N.Y. – Barnes & Noble will stop offering a stand-alone Nook app for Windows and instead deliver Nook media to Microsoft’s Consumer Reader app.
Microsoft, which took a 6.8 per cent stake in the Nook unit in 2012, agreed to an updated revenue sharing plan with Barnes & Noble. In a filing with the Securities and Exchange Commission late Thursday, Barnes & Noble said it will discontinue distributing the Nook Windows app and will instead co-operate with Microsoft to transition users to the Microsoft Consumer Reader.
Speculation has been running high about what Barnes & Noble plans for the future of Nook. The New York bookstore chain has invested heavily in its e-book and e-book reader unit, but the unit has not been profitable. Still, Barnes & Noble has said it plans to launch a new Nook e-reader in coming months.
An investment firm offered to buy 51 per cent of the company for about $672 million earlier this month, with plans to spin off Nook, but Barnes & Noble rebuffed that offer.
In its most recent third quarter, Barnes & Noble reported a profit as cost cuts at its Nook unit and elsewhere helped offset declining revenue across all of its businesses. Revenue fell 10 per cent to $2 billion, from $2.22 billion last year.
Shares in Barnes & Noble Inc. rose 15 cents to close at $21.55 on Friday. The stock has jumped 44 per cent since the beginning of the year.