Skip to main content

Amazon Caves to Macmilllan's eBook Price Hike

The move to charge users 150 percent of the usual cost for ebooks displeased Amazon to no end. To make matters worse, Macmillan offered Amazon an ultimatum; the publisher informed Amazon that the topic was not up for negotiation and said that if the new price was not accepted, Macmillan would not be offering any content through Amazon.

Amazon retaliated with a kind of, "You can't fire me, because I quit!" response. The etailer pulled all Macmillan content from its store. The Macmillan titles are back now but Amazon has since released a statement conceding that it has as the publisher represents one of the "big six," the company has no choice but to cave to Macmillan's requests.

“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 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 an ebook. 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.”

Yowza. Not cool for Kindle users.