Plastic Logic has dumped plans to launch its QUE e-Book reader and will instead concentrate on creating a second-generation device.
The company said while the QUE was designed as a potential rival to Amazon's Kindle, the e-Book reader market has moved on.
"We recognise the market has dramatically changed, and with the product delays we have experienced, it no longer make sense for us to move forward with our first generation electronic reading product," chief executive of Plastic Logic, Richard Archuleta, said.
Plastic Logic will focus on creating a secon generation of its ProReader
"This was a hard decision, but is the best one for our company, our investors and our customers."
The Que e-Book reader, which was first unveiled at the Consumer Electronics Show last year, was originally expected to be made available earlier this year. Plastic Logic did not reveal specification or availability details for the second generation e-book reader.
"We plan to take the necessary time needed to re-enter the market as we refocus, redesign and retool for our next generation ProReader product," Archuleta said.