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Low, Low eBook Prices: Publishers Should Worry, Writers Should Not

Tarah Benner

Digital Book World has been buzzing about the rapidly declining prices of best-selling ebooks for the past few months. Now, popular ebooks have reached an all-time low average of $8. I originally thought these bottom-basement prices were related to holiday sales and Amazon trying to capitalize on the thousands of new Kindles owners after Christmas. But the continually falling prices of best-sellers well into late January tell another story — or rather, two stories.

The first story has to do with the Department of Justice suing Apple and the five major publishers for alleged price-fixing to keep ebook prices high. Basically, Amazon’s bargain-basement prices were so low that they were cutting into publishers’ profits, so the publishers and Apple banded together to jack up the prices of best-selling ebooks.

Consumers, of course, are happy that Amazon now has the power to slash prices to its heart’s content. Paying $14.99 for a…

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