John Markoff at the New York Times writes that there’s evidence that Apple is working on a Kindle-killer. 

According to Markoff, his contact at a search engine company has “spotted Web visits from an unannounced Apple product with a display somewhere between an iPhone and a MacBook. Is it the iPhone 3.0 or the NetMac 1.0?”

At this point, this is little more than a well-placed rumor, but it would make sense for Apple to go after the eBook market.

Amazon’s Kindle has failed to make much of an impression beyond the geek gadget market, while Apple’s iPhone has transformed the phone industry. It’s not much of a stretch to think that a device that was basically an iPod touch with a larger screen – a device that would be open to content from podcasters, bloggers and others – could put the Kindle out to pasture.