CNet is reporting that Amazon has called a "book related" press conference for Feb 9 and they believe that the announcement will be a confirmation of the Boy Genius reported design for the Kindle 2.0 and an early release date, possibly in March. They are incorrectly reporting that the Kindle order page has gone from a predicted availability date of late February to a "sold out" notice (I just checked - availability is 4 to 6 weeks, the same late Feb/early March that has been listed for months now) and they predict that anyone ordering now will get an email offering to let you "upgrade" to the newer version instead (for a predicted $40 charge). Hopefully they are just as wrong with their predictions as they are with their reporting of the status of Kindle pre-orders. If not, it means that the "new" Kindle will be a less capable unit (no SD card expansion, no replaceable battery) with a much larger form factor (less ability to stash in a purse or large pants pocket) and a higher price tag (otherwise, why would anyone consider paying $40 more and consider it a good deal? You could easily cancel the old order and reorder the new version at $399 or less and have the same or better).
At this point, it's equally likely that the thinner, larger case Kindle is the UK or European model (where the ability to store books on an SD card might have been a sticking point to get publishers on board). The UK model has been rumored for 2009 for quite some time and Hatchette recently raised a big stink with US e-tailers about selling ebooks to European readers - a move that was no doubt anticipatory to the Kindle hitting shelves there (ebooks in Europe are often the same or higher price and that pricing is set by law, not just market forces). Tightening up the loopholes UK/EU readers use to avoid higher European pricing (many have figured out how to use the Sony US store, for example, due to the UK store's pricing/problems) will no doubt be essential in getting European publishers on board. Remember, just because a book is from the US or available here on the Kindle doesn't mean that the digital rights will be released in the UK/US. Or vice versa. You might even see the equivalent to region coding introduced on ereaders (the publishers would love it, but it may be too late to add this, now that ebook formats are out there), much as is used with video games and movies to ensure you can't play that disk you picked up while on vacation in London, once you get back to the States.
But back to the rumored Kindle 2.0. Hopefully Amazon will finally release some of the most desired features (hint: FOLDERS!) that early adopters have been clamoring for. Even then, it' doubtful that it would be worth paying more for the new version, unless the rumors of it's lack of hardware features are true. Sure it's thinner and has smaller keys, but even these are not considered desirable features by many (unless you work at Sony or are a "critic/reviewer", but not an actual Kindle reader) -- the thinness actually makes it less comfortable to hold over time (your hand cramps up more, as has been noted by some who have both a Sony Reader and a Kindle) and the smaller keys mean a much more precise hand movement is required to change pages. And I doubt the thinner design will work as well reading on your side (the current Kindle will balance on it's edge, requiring no effort to keep it up for reading). But the thing I'd miss most is the expandability - not only for books, but for audiobooks (even quadrupling the embedded memory won't give you enough for more than one or two small ones) and music, as well as the ability to have a "work documents" card and a "reading" card (or even one card per person with a single shared Kindle). And no replaceable battery means that when it dies (and they all die), the entire unit must be sent back for repair (if possible) or completely replaced. Neither of which is a very green solution (or likely - how many of us have dead UPS/Battery Backup units sitting around or that were disposed of/replaced rather than repaired?).
What do you think? Do you prefer the new design? How much extra would you be willing to pay for thin?