Amazon Boosts E-book Royalties Ahead of Apple's Tablet

Amazon Boosts E-book Royalties Ahead of Apple's Tablet today said authors and publishers will get a higher royalty on books using the Kindle Digital Text Platform (DTP) starting June 30.

The new 70% royalty more than doubles what Amazon currently pays in royalties. The increase was widely seen as's attempt to pre-empt the impact of Apple 's entry into the e-book market with a new tablet device that many believe will be announced next Wednesday .

Google has also announced a Google Editions e-book concept that should launch later in the year, using a variety of devices.

Amazon could not be reached for comment immediately, but said in a statement that an author would make $3.15 on today's standard option on an $8.99 book, or slightly more than 30%, which would increase to $6.25 with the new 70% option. The 70% royalty will exclude delivery costs, based on file size that is priced at 15 cents per megabyte.

The standard option will continue, and to qualify for the higher 70% option, books must be priced at between $2.99 and $9.99 and initially will only apply to books sold in the U.S. It is unavailable for books published in the public domain, before 1923.

Apple offers its application developers a 70% royalty on apps sold in its App Store, which includes some digital books. Google is planning a 63% royalty for Google Editions. Authors of physical books typically receive royalties in the range of 7% to 15% of the prices set by publishers, and about 25% of the net amount that publishers receive from retailers of their digital books, a Kindle official said in a statement.

Matt Hamblen covers mobile and wireless, smartphones and other handhelds, and wireless networking for Computerworld . Follow Matt on Twitter at @matthamblen , send e-mail to or subscribe to Matt's RSS feed .

This story, "Amazon Boosts E-book Royalties Ahead of Apple's Tablet" was originally published by Computerworld.

To comment on this article and other PCWorld content, visit our Facebook page or our Twitter feed.
Shop Tech Products at Amazon