Amazon Bought Touch-Screen Start up Company

 In order to compete with Apple’s ipad, Amazon bought  NY based touch screen technology start up company Touchco. Touchco began its project at Media Research Lab at New York University with only six employees. Amazon will be able to upgrade its  Kindle e-reader with this acquisition. Touchco is expected to merge its staff with the hardware division of Amazon.The new acquisition is supposed to boost the overall performance of electronic reader as the e-books war heats up with the arrival of Apple Inc’s iPad device in stores in late March.

As per New York Times’ Bits Blog in December, Touchco’s has capability for unlimited and simultaneous touch inputs and it will enhance the technology of Amazon’s e-reader. This is also cheap. Touchco uses a technology called interpolating force-sensitive resistance, which it puts into displays that can be completely transparent and could cost as low as $10 a square foot. The touch screens used in the iPad and iphone are very expensive. Unlike those screens, the Touchco screens can also detect an unlimited number of simultaneous touch points.

Touchco co-founder could not be reached to answer the question. The website of the company says that it stops doing business as of Jan 2010.