Barnes & Noble today announced their latest Nook, which will have a color display. Appropriately called the Nook Color, the $249 device will try to fit into the increasingly crowded market of e-readers and tablet computers.

Nook Color is loaded with extras including a Web browser, free word games and chess. Pandora internet radio will let users stream tunes over Wi-Fi while reading, and Quickoffice will let users view Microsoft Office files, and more.

“With Pandora on Nook Color, millions of book lovers can now to listen to their personalized radio stations on the same device from which they’re reading,” said Jessica Steel, Vice President, Business Development at Pandora. “Nook Color users can simply open Pandora, enter the name of a favorite artist or song and immediately start listening to a station created just for them, based on the initial song and their feedback to subsequent songs. It’s a never-ending experience of music discovery tailored to the taste of each individual.”

“We are excited to be part of Barnes & Noble’s innovative eReading platform,” said Gregg Fiddes, vice president of worldwide sales at Quickoffice. “Since Quickoffice is embedded into Nook Color, users can easily access and view all the content they love, including their personal files, directly on their device. They can zoom text at any level for optimal high-definition viewing. We’re excited to partner with Barnes & Noble and reach the eBook audience, as it supports our mission of bringing our award-winning productivity application to all users.”

The Nook Developer program was also announced, allowing developers to create new software for the Nook Color. “With Nook Developer , we’re opening our doors to content providers and developers to change the future of reading together,” said Jamie Iannone, President of Barnes & Noble Digital Products. “We invite developers across all platforms to join us in growing our eReading ecosystem by creating engaging content and reading-centric applications for our millions of customers to enjoy on Nook Color and beyond.”