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Publishers get higher payment
Source: Agencies |
November 10, 2010, Wednesday
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Print Edition
Print Edition
AMAZON.COM Inc said on Monday it will start paying publishers more when they sell magazines and newspapers on its Kindle electronic reader.
Amazon.com will pay publishers 70 percent of the retail price, after subtracting delivery costs, for each magazine or newspaper sold at its Kindle Store.
That's a reversal of the terms that News Corp CEO Rupert Murdoch said Amazon was paying last year for subscriptions to publications like The Wall Street Journal. Murdoch said last December that Amazon.com pays News Corp a little more than a third of the US$14.99 monthly subscription fee for the Journal, which he described as "not a great deal."
The move by Amazon, which takes effect December 1, comes at a time when newspapers and magazines are looking at digital platforms like the Kindle and Apple's iPad to replace revenue lost to falling print ad revenue.
Amazon.com will pay publishers 70 percent of the retail price, after subtracting delivery costs, for each magazine or newspaper sold at its Kindle Store.
That's a reversal of the terms that News Corp CEO Rupert Murdoch said Amazon was paying last year for subscriptions to publications like The Wall Street Journal. Murdoch said last December that Amazon.com pays News Corp a little more than a third of the US$14.99 monthly subscription fee for the Journal, which he described as "not a great deal."
The move by Amazon, which takes effect December 1, comes at a time when newspapers and magazines are looking at digital platforms like the Kindle and Apple's iPad to replace revenue lost to falling print ad revenue.
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