Could Amazon Buy Borders?

Rumors are circulating that the bankrupt bookstore chain Borders is up for sale, but no one wants to buy it. The Wall Street Journal posted a story which reported a rumor that Borders was “in discussions with a potential bidder for more than 225 stores”. Bloomberg News reported a different rumor that same day that B&N was interested in 10 stores, but that’s not the most interesting rumor.

Amazon has supposedly put in a bid for those 225 stores. Benzinga.com is raising the possibility that Amazon might want to get into brick and mortar stores.  Its argument is that Amazon is facing a losing battle of collecting sales taxes as more and more states get desperate for funds. If it loses this tax battle, why not use the stores to build a bigger presence in major markets?

That doesn’t make much sense when you sum it up, does it? What do you think?

image by Aidan Jones