The tech blogs and the book blogs are poking their noses into each others' business again. Gizmodo says that Penguin won't allow Amazon to sell their e-books on the Kindle anymore. So in retaliation, Amazon is selling Penguin books at e-book prices:

Amazon's cut the price of Penguin's actual hardcovers to $9.99 ebook pricing.

Which, one, shows just how cutthroat Amazon will be on pricing—a lot of the $9.99 hardcovers aren't even bestsellers, so Amazon's flat out giving away money—and how determined they are to move books in volume and retain customers using price as a blunt-force weapon.

This is classic Amazon bullying, and this time they're focused on a publisher that holds a grudge: Penguin is the old-schooliest of the old-school publishers. Maybe one day, Amazon will learn that smart business isn't necessarily good business.