Tag: Kindle (Page 3 of 6)

Amazon gives Macmillan the price it wants

Macmillan back on the Kindle.Following a very public feud over ebook pricing, Amazon has caved to Macmillan, giving the publisher it’s desired $14.99 price point for ebooks. The switch came after Macmillan threatened to pull all future publications from Amazon’s Kindle Store if it wasn’t given flexibility with regard to price.

Amazon announced the news to its customers with the following statement:

Dear Customers:

Macmillan, one of the “big six” publishers, has clearly communicated to us that, regardless of our viewpoint, they are committed to switching to an agency model and charging $12.99 to $14.99 for e-book versions of bestsellers and most hardcover releases.

We have expressed our strong disagreement and the seriousness of our disagreement by temporarily ceasing the sale of all Macmillan titles. We want you to know that ultimately, however, we will have to capitulate and accept Macmillan’s terms because Macmillan has a monopoly over their own titles, and we will want to offer them to you even at prices we believe are needlessly high for e-books. Amazon customers will at that point decide for themselves whether they believe it’s reasonable to pay $14.99 for a bestselling e-book. We don’t believe that all of the major publishers will take the same route as Macmillan. And we know for sure that many independent presses and self-published authors will see this as an opportunity to provide attractively priced e-books as an alternative.

Kindle is a business for Amazon, and it is also a mission. We never expected it to be easy!

Thank you for being a customer.

I can’t help but feel Amazon is making an irrelevant appeal to the Kindle consumer base. By and large these will be people with more money to spend on books, considering they’ve dropped a couple hundred bucks up front to gain access to the titles. If they really want one of the books, would the consumer base really not buy because of a $15 price tag, one that’s still far cheaper than the hardback option? Probably not.

As a writer, I’m reassured to see publishers taking the reins on this one.

Source: Amazon

Amazon pulls Macmillan ebooks

iBook Store.At some point yesterday Amazon pulled any ebooks from publisher Macmillan due to a pricing dispute, according to the New York Times. Apparently Macmillan wanted to raise prices from $9.99 to $15 and Amazon didn’t approve.

You might remember the same thing happening as iTunes was starting to get its legs. Apple used its massive marketshare to strong arm media companies to the $.99 price point, which most everyone felt was too low. Obviously that model has worked out in Apple’s favor, if not in the favor of most record labels, a few of which were able to strike more flexible deals.

There is one major difference – Macmillan has somewhere to go. Apple is just about to open the iBook Store for its new iPad, which, in all likelihood, is going to outsell the Kindle by quite a bit. Most estimates put the Kindle’s installed base around 3 million. The iPad could easily have that by the end of this year.

I would be pretty surprised, though, if Jobs was willing to give Amazon the price advantage in the ebook war.

Source: http://bits.blogs.nytimes.com/2010/01/29/amazon-pulls-macmillan-books-over-e-book-price-disagreement/

Kindle bestsellers don’t cost a thing

Kindle with a bookIt’s not a revolutionary concept. You want some visibility so you offer what would normally be a paid service or product for free. As word of mouth grows, you bump the price back to normal levels, occasionally higher, and profit. Easy enough.

That’s what many book publishers are starting to do with titles on the Kindle, the New York Times reported this weekend. The article focuses on Maureen Johnson, an author whose young adult fiction has climbed as high as number three on the Kindle best-selling charts. It’s being run for free on the device to drive interest in her upcoming sequel, which will release this February.

While some publishers – Random House and Scholastic for two – embrace the free model, others, like Hachette, find it “illogical.” They believe the price of ebooks is already too low, so why go any lower? In fact, a lot of publishers delay ebook publication for a few months after a book’s release to capitalize on hardcover sales.

Obviously, as time goes on, we’re going to see publishers get more and more creative to keep profits up in the face of lower prices for retail media.

Kindle opens up for app development

Kindle development kit.Amazon announced today that the Kindle would be opening up for development of third-party apps. It’s getting everything too, not just weather widgets and email browsers. You want games? You got ’em. Though, you’ll probably hate most of them on that e-ink display.

Really, this has to be a future-proofing move for Amazon. I can’t imagine many developers will be clamoring to get apps on the device, especially with the limitations in place. Free apps have to be less than 1MB and use less than 100KB of data per month. Paid apps are under the same usage limit but can be as large as 100MB, though anything over 10MB has to be downloaded via USB.

It’s hard to imagine the kind of apps that could be successful on a Kindle. The screen refresh works for ebooks, but imagine trying to play a game. It’s just not going to work out. The real benefit, it seems, will be to get developers involved before the release of some sort of color Kindle with a real screen. Until then, I’m pretty sure the “apps” will just be ebooks that serve specific markets.

2010: tablets over ereaders

Apple tablet?Everyone’s saying it. I’m jumping on board. Whatever your feelings about tablets – they should exist, they shouldn’t, they’re pointless, they’re great – there’s no denying the potential market impact of a quality tablet. Quality is the key factor here. Much like ereaders, which no one cared about until the Kindle came around, tablets need a frontrunner, something to rally around and aspire to beat. My bet, like so many others, is on the Apple tablet.

It’s not just that I trust Apple, which I do, but that the market is so ripe for a Apple created device. The world has fallen in love with the iPhone and the iPod Touch, the App Store continues to grow at alarming rates, and everyone is imitating multi-touch wherever it makes sense and in plenty of places it doesn’t. Imagine your iPod Touch on ‘roids, powerful enough to run 1080p video, do some simple editing, and wirelessly post to YouTube. Did I mention you can surf the web and read your ebooks? How much would you pay for a device like that? $500? $600? More?

Amazon and Barnes & Noble don’t think the consumer’s financial tolerance is so high. I do. I think people would be willing to spend as much as a grand on an Apple tablet because it could potentially do everything I mentioned above. In the face of that kind of device, the Kindle starts to look a lot like the Peek, specializing in a service handled just as well, if not better, by a more versatile device.

The one thing that could stall tablets for another year is premature release. Everyone knows the tablet is the next big thing, but if it gets rushed, consumers could see the failed device as a reason to buy an ereader. Wait until the tablet people get it right before diving in.

What do you think? Is this the beginning of the end for ereaders? Will they still have their place in the market? Can they get cheap enough to stay relevant?

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