Thread: eBook Gold Rush
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Old 05-09-2011, 01:23 PM   #33
Elfwreck
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Quote:
Originally Posted by jplumey View Post
Who says there's no cost to production? Are all of these data centers, web servers, switches, internet backbones, monitors, keyboards, mice, and computers running on thought power?
Okay, cost of production per unit not zero, but is possibly less than a penny. Per-unit costs are so tiny that they have to be calculated in batch and lumped in with overhead costs.

It does cost to run an ebook store, host files, allow data transfers, use shopping cart software--but the cost per book is so tiny that all the relevant fees tend to be calculated in a different part of the business expenses. (How much does a company pay per month for bandwidth, and how much of that is used by a single .5 mb download?)
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