Amazon (NSDQ: AMZN) has acquired e-reader start-up Lexcycle and its popular iPhone application Stanza, a small but potentially mighty acquisition. No financial details were disclosed but Lexcycle founder Marc Prud’hommeaux tried to dispel the inevitable Kindle combo chatter by telling users in a forum that Stanza, one of the most downloaded iPhone apps, will continue to operate as a standalone.

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Lexcycle, located in Austin, Tex., and Portland, Ore., announced the deal on a company blog, promising no changes because of the sale: ‘Customers will still be able to browse, buy, and read ebooks from our many content partners. We look forward to offering future products and services that we hope will resonate with our passionate readers.” Stanza claims more than 1.5 million users after launching in July 2008.

NYT blog Bits, which reported the news first, has a statement from Amazon spokeswoman Cinthia Portugal: “It’s very early days for e-books, and we believe there is a lot of innovation ahead of us. Lexcycle is a smart, innovative company, and we look forward to working with them to innovate on behalf of readers.” More on our sister site paidContent.org.