Back at the end of April, Microsoft and Barnes & Noble announced a new strategic partnership that would form a new Barnes & Noble subsidiary. At the time, the companies claimed this new company would accelerate the transition to e-reading, but said little else about their plans.
Today, Microsoft and Barnes & Noble have announced the completion of their strategic partnership and the formation of Nook Media LLC, a Barnes & Noble subsidiary. The new subsidiary will comprise the digital and college businesses of Barnes & Noble. The companies claim Nook Media will be a “leader in the emergin digital reading and digital education markets.” The companies also announced that a Windows 8 app for Nook Media content is currently in the works.
“As demand for digital content continues to increase, we are focused on bringing ground-breaking reading and learning content and technologies to more people in more formats than ever before, including the imminent launch of our exceptional Nook reading application for Windows 8,” said William Lynch, CEO of Barnes & Noble. “We look forward to working closely with our new partner Microsoft to add value to their innovative new platform by bringing great reading experiences and one of the world’s preeminent digital bookstores to millions of Windows 8 users.”
Under the terms of their partnership, Microsoft made a $300 million investment in Nook media for a 17.6% stake of the company. Barnes & Noble owns the remaining shares.