Author Beware posted about this today,
here.
As well as an exclusivity clause, there's also a non-compete clause:
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During this period of exclusivity, you cannot sell or distribute, or give anyone else the right to sell or distribute, your Digital Book (or content that is reasonably likely to compete commercially with your Digital Book, diminish its value, or be confused with it), in digital format in any territory where you have rights.
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(Bolding mine.)
Victoria Strauss goes on to say, in the comments:
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This is a lot broader than just a followup book. Vagueness in non-competition clauses is a big problem--do visit the link to Passive Voice that I provided in my post, for a good rundown on the risks.
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