eBook prices on the iPad may be lower than expected
Since Apple announced the iPad, and the accompanying iBookstore, it's been expected that eBooks would see a price hike above the US$9.99 typically found at Amazon. However, that may not be the case, reports "The New York Times" (http://www.nytimes.com/2010/02/18/technology/18apple.html?emc=tnt&tntema...).
As more details come to light of the actual negotiations between Apple and publishers, it appears that Apple left room to sell some of the most popular books at a discount, the article adds.
"According to at least three people with knowledge of the discussions, who spoke anonymously because of the confidentiality of the talks, Apple inserted provisions requiring publishers to discount e-book prices on best sellers -- so that $12.99-to-$14.99 range was merely a ceiling; prices for some titles could be lower, even as low as Amazon’s $9.99," says the "Times." "Essentially, Apple wants the flexibility to offer lower prices for the hottest books, those on one of the New York Times best-seller lists, which are heavily discounted in bookstores and on rival retail sites. So, for example, a book that started at $14.99 would drop to $12.99 or less once it hit the best-seller lists."
What's more, for books where publishers offer comparable hardcover editions at a price below the typical $26, Apple wanted e-book prices to reflect the cheaper hardcover prices, the article adds. These books might be priced much lower than $12.99, even if they did not hit the best-seller list.