Earlier today, Barnes & Noble revealed a new Wi-Fi version of its Nook eBook reader, and along with that, dropped the price of its 3G version to $199. Not to be outdone, Amazon has now announced that it has dropped the price of its Kindle from $259 to $189.

Barnes and Noble noted in its announcement that the new Nook 3G price made the device the first undre $200 dedicated full-feature eBook reader to offer both free 3G wireless and Wi-Fi connectivity.

Amazon says of the Kindle, "Even though it’s a 3G wireless device, Kindle has no monthly fees or annual contracts," noting that 3G eliminates the need to hunt for Wi-Fi hotspots.

Amazon makes a point of saying that its device is in stock and available for immediate shipping.

It looks like the real winner of this price war will be the consumer.