Excellent discussion on the “agency model” vs. Amazon’s Kindle programme.

I’ve been seeing a lot of confusion about the “agency model” for publishing ebooks, which is what Macmillan, Hachette, HarperCollins, and Apple are on record as preferring to Amazon and its Kindle program. Please understand that I am not speaking on behalf of Macmillan or any of its subsidiaries, and I don’t have any inside information on what exactly John Sargent had in mind this past week when he wrote his statements.

Anyway.

Under the agency model, online retailers will sell a publisher’s ebooks in return for 30% of the gross. It’s not tied to a specific price structure or publication schedule. Publishers will set their own prices for the titles they publish, and decide when their own editions will come out.

Making Light: The “agency model” as I understand it.

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