The True Cost of Publishing On the Amazon Kindle
Barence writes "Ever wondered why Kindle newspapers and magazines don't have many photos? PC Pro has done an analysis of the costs of publishing on the Kindle and discovered that Amazon effectively taxes newspapers and magazines for including more images. Amazon applies 'delivery charges' to publishers at the cost of $0.15 per MB/10p per MB. At those prices, PC Pro claims it's cheaper to mail out a physical magazine than have it delivered electronically on the Kindle. What's more, publishers have no control over the price of their newspaper or magazine: Amazon sets the prices itself, leading to huge customer complaints for titles such as The Economist."
There are two things to consider here
1.) Amazon is handling the distribution. If their formula is unreasonable, that is something to kick around but they do need to cover those costs.
2.) The publishers probably cannot "pop it in the mail" for less. The article's author is forgetting about or intentionally ignoring the printing costs.
At the end of the day, the question has to be "Is the publisher getting a better or worse return?" This article (and most others on this subject) neglect that issue entirely. It's easy to bash at Apple's or Amazon's costing formula. It's much harder (and would display a lot of the publishers' proprietary data) to discuss the real fiscal impact on the publishing industry.
I'm not sure how Barnes and Noble's pricing structure works, but it's no better there for the end user. For example, here's most of a message I posted on B&N's Nook forum:
I love my Nook, but I'd never pay for a small, electronic, black-and-white version of a magazine when I could get the colorful, ergonomic dead-tree version delivered for half the price. Their subscription model is miles away from making sense for me.
Dewey, what part of this looks like authorities should be involved?
Indeed, even recently published material that you would think would be available in digital format to begin with seems to have OCR style errors in the Kindle edition. Either that or editors and proof readers aren't doing a very good job. Oh wait, that's always been the case for a lot of publishers.