I’m not sure if I think this is viable or not. I can see it being a better way of discovering apps than Google’s Android Market, but I’m not sure how it sits with Amazon’s own Kindle 3 and the possibility for an app store for that hardware.
According to GadgetLab:
Developers will have to pay $99 to sign up, just like with Apple, and will get the same 70:30 revenue split. Amazon will decide what gets into the store, pull any apps it doesn’t like, and wrap everything up in its DRM. Further, you can’t sell your apps cheaper elsewhere. If it costs a dollar in the Android Market, it has to cost a dollar over at Amazon.