Tuesday, November 9, 2010

Amazon Gives Magazine Publishers Larger Kindle Revenue Share

PCWorld: "Amazon.com will give magazine and newspaper publishers selling through the Kindle Store up to 70 percent of the retail price of their products, after delivery costs, it said on Monday. The terms will become available on Dec. 1, and will be offered to new and existing suppliers, according to Amazon. Publishers will get their share of the revenue after Amazon deducts delivery costs. These apply if the content is delivered via what Amazon calls a paid distribution method, such as its own Whispernet 3G mobile wireless service. That service costs US$0.15 per megabyte, so the data cost of a newspaper that delivers 9.0MB per month is $1.35. If the publication retails for $9.99 per month, the publisher would earn $6.05 for each subscription, according to an Amazon FAQ."