ebooks

They Did a Bad, Bad Thing

A while back, I said that even though I was firmly against the “agency model” for pricing e-books, I did not believe that Apple colluded with publishers. Well… as the lawsuit against Apple and the mainstream publishers moves forward, information has come to light to make me rethink my initial conclusion. If we roll up our sleeves, put on a pair of tillman gloves and get to work investigating the matter further, we find that it was an unnamed publishing insider who tipped Grant & Eisenhofer, a law firm hoping to represent consumers in the matter, to the conspiracy. They could be blowing smoke. The “publishing insider” could be full of shit. However, If there is indeed actual proof that there was collusion,  perhaps we can finally put an end to the agency model.

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Why the Apple Agency Model is Good for Pirates and Self-Publishers

Mainstream publishers still don’t get it: book buyers do not want to pay more than $10 for an e-book.  They are deluding themselves if they believe jacking-up ebook prices is a good idea. Higher ebook prices do not translate into more ebooks sales. And higher ebook prices are not exactly helping hardcover sales.

So who does benefit from the agency model? Well . . . digital pirates for one. Why pay $16 for a an ebook version of a bestselling book when you can download it for free on a torrent site? Sure, there will always be a market for pirated material, but most readers would pay for those books if the price was friendlier to consumers.

Second, self-publishers are also benefitting from the agency model. Readers looking for new books to read on their Kindle are going to be a bit more willing to try a new author selling an e-book for $1.99 than mainstream bestseller priced equal to or above the trade book price. Over the long haul, the more mainstream publisher fight for the agency model the more it will hurt them.

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The Kindle is Still Going Strong

I took my father to Walmart yesterday to pickup a prescription (my dad’s blind now and can no longer drive) and strolled around the store while he handled his business. Inevitably, I wandered into the electronics department, down the aisle with the iphone 3g cases and other cell phone accessories. At the end of the aisle I notice that Walmart now stocks the Kindle. Remember when the Kindle could only be purchased through Amazon.com? Now, it seems, it’s everywhere.

According to recent news reports, it is now making library borrowing available in 11,000 public libraries in the U.S. The Kindle seems to still be going strong after nearly four years!

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