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If no one figured out that they had given Amazon the go ahead to sell both editions at the same time then jobs need to be on the line. But I think they knew.
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Where does Amazon get their electronic editions? If the answer is the publisher then of course the publishing houses knew.
I thought Amazon paid independent authors 70% of the retail price, as long as the ebook is above $2.99. If this is the same deal the large publishing houses get that would suggest a $9.99 ebook sale would net a publisher $7 while a newly released hardcover would net the publisher $12 (based on DMcCunney's numbers). It would seem to be a rather simple matter to come to an agreement somewhere between those two numbers (and since a hardcover has additional costs over an ebook, there is obviously some wiggle room). I imagine a $12 - $13 ebook release of a newly released best seller would work for both parties.