Here is how Susan's blog begins:
First, the terms of service for ebooks make it clear that regardless of price, we don't own the ebooks we purchase. Instead, we own a "license" to read them.
Second, five publishers conspired with Apple to create and maintain an artificially high price for ebooks. Apple has once again appealed the decision of US District Court Judge Denise Cote.
And finally, according to the New Republic, publishers only make a 41% profit on a hardback book. On an ebook, their profit soars to 75%. And the lower prices of ebooks (lower than hardback) do not result in a hardship for publishers. A $27.99 hardback book produces $5.67 in profit. The same book offered in digital format sells for $14.99 and yields a profit of $7.87.
I have problems with this. Not least is the fact that $14.99 is an outrageous price to pay for a license to read a book. But also, why is the publisher making a 75% profit instead of the writer? . . .Click here to read the rest of this blog post. And click on the links in her article to get an even better understanding of the e-book ripoff.