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Tuesday, February 2, 2010

Muscular Macmillan Wrestles Amazon on eBook Pricing

I've let this story percolate for a while until it took a direction: the publishers' fight with Amazon over eBook pricing. Amazon has been selling eBooks of newly released books for $9.99, which some publishers consider predatory and which undermines their print book sales.

This story has been covered extensively, which is not surprising. SFWA now has a nice article summarizing this issue following Macmillan's muscular move to control its products' pricing on Amazon. Macmillan changed its terms of sale from the wholesale model, in which resellers buy at a discount and sale at any price they wish, to an agency model, in which the reseller takes a commission from the sales. Under the latter arrangement, Amazon would have to sell new Macmillan titles in eBook form at prices starting at just under $13 USD. Amazon responded by yanking the "Buy" button from Macmillan books, but later recanted. It did not go unnoticed that this decision was made in the shadow of Apple's acceptance of the agency model for its new Apple iPad.

Here is SFWA's article on Macmillan vs. Amazon by Victoria Strauss.

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