Deal calls for Microsoft to invest $300 million in new partnership with bookseller and drop Nook patent claims.



From InformationWeek:

Microsoft and Barnes & Noble have struck a partnership to produce and distribute digital books through a new, yet-to-be named Barnes & Noble subsidiary that will include the bookseller's existing Nook e-book division as well as its college textbook business. Market observers say the venture could bring much needed competition to an e-book market dominated by Amazon.

Barnes & Noble's stock was up more than 70% on the news.

  Microsoft, Barnes & Noble Strike E-Book Partnership