Amazon.com will unveil a tablet computer to compete with Apple's iPad by October, The Wall Street Journal's Stu Woo and Yukari Iwatani Kane report. The company will also release two new versions of the Kindle e-reader -- one of them with a touch screen, the other a cheaper model -- in the third quarter of this year. The tablet will have a nine-inch screen and run on Google's Android. The Journal reports that an iPad rival will "intensify a growing clash between Amazon and Apple," which have been competing for book, music, and video customers. AT&T is now sponsoring the current Kindle version, allowing Amazon to drop the price from $164 to $139, Dow Jones' Shara Tibken reports.

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Elspeth Reeve