Citigroup this week said that it expects sales of Amazon.com's Kindle and related products to generate $1 billion in revenue by 2010 on strong sales estimates for the wireless reading device.

Citigroup analyst Mark Mahaney estimates that Amazon will sell 380,000 Kindle units in 2008, an increase from a prior forecast of 190,000. Additionally, he estimates 150,000 units sold in the fourth quarter on strong holiday sales.

Kindle, released in Nov. 2007, is a wireless reading device that allows owners to download books, magazines, newspapers, and more to a high-resolution digital display.

More than 125,000 books are currently available for Kindle.

Books are delivered to Kindle via EVDO cell phone networks in less than a minute.

The device held a sold out status for months in late 2007 Amazon due to high demand.

Kindle carries a retail price of $359.99.

Amazon shares closed at $88.09, up $7.58 on Mon.

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