Posts Tagged ‘Hachette Book Group’

Exclusive: Apple in Talks with McGraw-Hill, Hachette over Tablet

January 22, 2010

Apple in Talks with McGraw-Hill, Hachette over Tablet
The maker of the iPhone is discussing ways to include McGraw-Hill and Hachette e-book titles on its tablet, due to be introduced Jan. 27

By Spencer E. Ante

Apple is in talks with the McGraw-Hill Companies and Hachette Book Group to include educational and trade titles on its planned tablet computer, according to people familiar with the negotiations.

McGraw-Hill Education, the third largest educational publisher in the U.S. by sales, is discussing getting electronic textbooks and parts of its online learning system onto the tablet, say two people. Apple has also held talks with trade book publisher Hachette Book Group about distributing e-books on the tablet, says one person involved in the discussions.

Apple’s tablet, due to be introduced Jan. 27, is likely to feature content from a wide range of book, magazine, and newspaper publishers, as well as entertainment. “Everyone is expecting e-book capabilities and services,” says Roger Kay, president of Endpoint Technologies Associates. “This generation of tablets is all about the consumer and media consumption.” As it has pushed deeper into consumer electronics, Apple’s strategy is to combine cutting-edge hardware design with access to music, video, games, and other applications.

The company’s interest in educational content underscores the longstanding popularity of Apple products among schools and institutions of higher learning.

Read the rest of the story on Bloomberg BusinessWeek.

Inside Amazon.com’s Love-Hate Relationship with Book Publishers

January 4, 2010

e-Books: Averting a Digital Horror Story
Amazon.com’s growing might and the sizzling success of the Kindle has publishers terrified. Hachette, Harlequin, and others are fighting back

By Spencer E. Ante

On Christmas Day, for the first time in its history, Amazon.com (AMZN) sold more digital books than the old fashioned kind. It was a watershed moment for the book industry—but it’s scaring the hell out of traditional publishers. Even though they make the same amount on sales of both kinds of books, they see Amazon’s digital dominance as a looming threat to their business, and with good reason. Their big worry: Amazon will end up with the same kind of pricing power in books that Apple has in music, and that the book industry will suffer the same kind of bruising decline.

One goal for publishers is to dilute Amazon’s power. Hachette is selling e-books through more than a dozen partners, including Sony, Apple, and small retailers such as Fictionwise. By partnering with multiple outlets, publishers hope to regain control over pricing and gather purchasing data that could fuel future sales. They’re unhappy Amazon has dropped the price of some new digital best-sellers to as little as $7.99, compared with $35 for hardcovers. Hachette and Simon & Schuster plan to delay the release of certain digital books for several months to avoid undercutting the sale of best-sellers. “We are giving away the family jewels,” says David Young, chairman and chief executive of Hachette Book Group, which publishes authors Malcolm Gladwell and Walter Mosley.

Publishers are typically paid about half the hardcover’s retail price, whether a digital book or hardcover is sold. But Amazon has been pushing to pay them less, and many publishers think cheap digital books will open the door to lower industry revenues in the future. Amazon, for its part, says publishers’ concerns are overblown. “We are selling a lot of books for publishers. We feel like that relationship continues to be a good one,” says Ian Freed, Amazon’s vice-president for the Kindle business.

Read the rest of the feature and see pictures here at Businessweek.com