Seeking Alpha

Kindle (AMZN) owners could be in line for refunds of $0.30-$1.32 for each e-book they purchased...

Kindle (AMZN) owners could be in line for refunds of $0.30-$1.32 for each e-book they purchased between April 2010 and May 2012 if a court approves a legal settlement with publishers over alleged price fixing. The publishers, News Corp's (NWS) HarperCollins, CBS's (CBS) Simon & Schuster and Lagardere's Hachette, would pay for the refunds. A hearing is due in February.
From other sites
Comments (6)
  • Joseph P. Porter
    , contributor
    Comments (758) | Send Message
     
    More important is that the publishers have agreed to alter their policies with regard to controlling the price of e-editions of their books. This will also affect the litigation against Apple and two other publishing companies (I believe McGraw-Hill is one of the other two).
    14 Oct 2012, 11:44 AM Reply Like
  • TomasViewPoint
    , contributor
    Comments (4845) | Send Message
     
    This will impact Apple to some extent. There price agreement with the publishers is under fire. Amazon will lower book prices further.
    14 Oct 2012, 11:57 AM Reply Like
  • Joseph P. Porter
    , contributor
    Comments (758) | Send Message
     
    That's the way of the market. The problem was that the publishers were requiring Amazon to charge full hardcover price for the same ebooks. With the evidence prosecutors were able to collect, it looked as if Apple and the publishers were acting in collusion, and unfairly excluding other dealers from competing. Now, at least, the price of ebooks will drop (as they should-they are substantially cheaper to produce than physical books), and other dealers can compete.
    14 Oct 2012, 12:23 PM Reply Like
  • TomasViewPoint
    , contributor
    Comments (4845) | Send Message
     
    JP

     

    It was one of the easiest cases of collusion that I have seen in a long time.

     

    College textbooks should also be next don't you think? After paying the writers how much does it cost to provide an eBook?
    14 Oct 2012, 12:47 PM Reply Like
  • Joseph P. Porter
    , contributor
    Comments (758) | Send Message
     
    Absolutely! I am a retired college professor, and when I retired 6 years ago they were charging $150.00 for a book I paid $20 for. The high price of text books in part is because they have to be updated on a regular basis, but also, publishers try to make up for revenue lost to used-book sales (in part, this is why there is pressure on writers to put out new editions of their books on a regular basis). If they got their act together, a text would cost no more than the average book, $15-$25.

     

    By the way, professors do not make that much on text books - certainly nowhere near what the average novelist makes. And they make nothing on used-book sales. eTexts would maybe help even the playing field for writers, and might encourage better material.
    14 Oct 2012, 03:10 PM Reply Like
  • TomasViewPoint
    , contributor
    Comments (4845) | Send Message
     
    I agree. That would be easier to publish. Easier to update and better profits for at least the writer. I also assumed the amount of graphs and pictures in the textbooks made them more costly but that should all come down if they are electronic.

     

    And hopefully smarter students.
    14 Oct 2012, 04:25 PM Reply Like
DJIA (DIA) S&P 500 (SPY)
ETF Tools
Find the right ETFs for your portfolio:
Seeking Alpha's new ETF Hub
ETF Investment Guide:
Table of Contents | One Page Summary
Read about different ETF Asset Classes:
ETF Selector