Amazon Bows To Macmillan
People planning to add more e-books to their Kindles will have to shell out more money, as Amazon.com came out the loser in a war of attrition with publishing company Macmillan.
Macmillan, one of the largest publishing firms in the United States, is set to sell its new releases beyond the $9.99 ceiling set by Amazon.com. The online retailer initially opposed Macmillan’s demand to increase prices for Kindle e-books, even going as far as disabling the “buy” button for such best-selling titles as Hilary Mantel’s Wolf Hall and The Gathering Storm by Robert Jordan and Brad Sanderson.
In a notice to its customers, Amazon said that it had to give in to the demands of Macmillan as the publishing company has “a monopoly over their own titles.” Under the new set up, newly released Macmillan titles will sell for $12.99 to $14.99. Amazon, on the other hand, will get a 30 percent commission from the sales. The new terms are to take effect at the start of March.
Last week, Macmillan finalized the same terms with Apple’s iBookstore, which sells e-books for the newly released iPad.