No question that Amazon's actions are misguided and wrong. This is not the first time, nor will it be the last [time], the company finds itself on the wrong side of popular opinion. Problem is this entire market, from hardware (eReaders and tablets) to software (eBooks) moves rapidly - too rapidly for publishers and Amazon to keep up. So they misstep on occasion. I view the publishers' decisions and actions as especially flagrant because they force consumers and middle-men, such as Amazon, into untenable positions.
Bottom line: You can own a Kindle AND use Amazon's whispernet, and still protect (retain) the eBooks you purchase from Amazon's
l o n g reach. Various methods exist to accomplish just that objective. If instead you prefer another eReader... well, read
this article before you decide. (fwiw, I use and prefer the iPad.)
As a side note, any vendor can provide either the conduit or the content but never both, as the two positions are mutually exclusive.
* For publishers, that means controlling the flow of books to market, whether print or digital. And ATTEMPT to control its pricing and availability. This attempt creates the pursuit by the US Justice Dep't, and EU governmental bodies, of publishers, Apple, etc. And why, while shopping for an eBook on Amazon, you see the comment "price set by publisher" - iow, not by Amazon. (It also explains, in minor part, why Amazon does not sell ePUB versions of books.)
* For middle-men (again, such as Amazon), you provide either the venue for consumers to purchase content from elsewhere (Amazon's business model from its inception) or you provide the content (Amazon's new business model, in their new role as publisher). This is why all other booksellers refuse to sell the books Amazon publishes. And places Amazon in the unenviable position of protecting its turf by refusing to sell books from other publishers.
When the turf wars ensue, the consumer (you, me, us) is always named as being the cause and reason. Do not buy that claim even for a moment. Publishing is in a state of upset while it figures out this eBooks revolution. And it
is a revolution; publishers'
walled garden is under major assault. The world of publishing today is
very different from yesterday. And even more different from the day prior. Talk about a constant state of flux. You and I, in our many guises, play an important role in this revolution, but we are not the deciding factor, not by a long shot, despite the publishers' cries and moans.
As it is I remove the DRM from all my purchases as soon as I have made them so I can put the books on my non-Kindles. Presumably Amazon won't know anything about what I am doing since only Amazon books are on my Kindle reader app. 
