The Kindle 2 and newspapers

Thinking about the Kindle 2, it may be the salvation of newspapers. A lot of the cost of newspapers is in the printing: the paper, the ink, the presses, the cost of distributing the sheer physical mass of paper. The Kindle 2 provides a secure subscription-based channel for delivering black-and-white printed content that doesn't require moving physical material around. Amazon already has a content distribution network set up. A newspaper could mark up their edition electronically and distribute it to Kindles. As long as nobody involved gets greedy, I think it could be profitable once the costs of physical printing and distribution are shed.