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The real winners in this deal are going to be the readers - they will get books at lower prices. Lower prices to the consumer will mean more books read. That means the authors will win also. The only real losers will be the major publishing houses.
As far as providing "free" services such as editing, proofing, etc., come on! Take a look at the net margin going to the author from the big 6 - around 15%. These services are far from free.
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