It’s on! Amazon’s Kindle is now engaged in a full-fledged price war on Black Friday with both the iPad and the Nook.

Amazon just slashed the price on their tablet-sized Kindle DX

to just $259, offering a massive 32% discount just before Black Friday. (Point your computer’s web browser to tinyurl.com/BlackFridayDX ) But Amazon started this war in September, by creating a new Kindle that they can sell for just $79. Now Barnes and Noble has announced that on Friday, they’ll release a special, limited-edition touchscreen Nook for just $79. That’ll match the price of Amazon’s cheapest Kindle (which does not have a touchscreen). “The Black Friday edition is the same as the regular $99 unit available in Barnes & Noble bookstores and online, except that the Black Friday edition has a white rim,” reports the Los Angeles Times.

And the Kobo is also slashing the prices on its touchscreen readers, to just $99. “That puts it at the same price as the Kindle Touch…” notes

a technology blogger at TechCrunch, but it’s still more expensive than Friday’s new sales prices for the Nook. “At the normal price, it really is kind of a difficult choice…” writes the blogger, who’s been a big fan of the Kobo. “But would I recommend it over a $79 Nook? I can’t say I would, because the Nook is a solid device too.”

And meanwhile, the iPad is also joining in the competition. Apple’s promising a “one-day Apple Shopping Event” on their web site, but one Apple blogger also received a flyer with the actual prices, according to C|Net. Apple’s apparently cutting the cost of the Ipad 2 by up to $61 (while the iPod Touch will be discounted by up to $41, and MacBooks and iMacs more than $100 ). It seems like Apple’s really feeling the pressure to compete with the low price of Amazon’s $199 Kindle Fire tablets.

Black Friday is the biggest shopping day of the year in America, and every major shopping site seems to be fighting for a piece of the action. eBay is even creating real-world shopping spots for Black Friday outside major retail destinations in New York, San Francisco, and London, according to the Washington Post. eBay is establishing a “pop-up” presence so customers can buy eBay products while they’re out shopping (by scanning bar codes with their mobile phones!) And as the Washington Post noted, “Amazon opened an online Black Friday deals store on Nov. 1.

“It’s packing the site with offers each day to keep shoppers checking in over the Web, instead of heading to the mall!”