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The Price of E-book Progress This content requires a paid GigaOM Pro subscription

  • Tuesday, February 9, 2010

Book publishers seem to have learned nothing from the movie industry's woes about the arbitrary valuation of goods in a digital marketplace.

There’s probably a PhD in economics to be had by anyone who can explain the unusual pricing dynamics of the e-book market. Despite increased retail competition, with Barnes & Noble (BKS), Sony (SNE), Google (GOOG) and now Apple (AAPL) joining market leader Amazon (AMZN), consumer prices are going up. Publishers’ profits, meanwhile, despite wider distribution of e-books than ever before, are going down. Under the new pricing arrangement struck between Amazon and Macmillan Publishing, for instance, [...]

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