Hmm, it seems that according to the US DoJ Amazon weren't making a loss on ebooks during their 9.99 period.
If Amazon established a monopoly I think they would not really care whether book prices were higher or lower than they are now - I suspect they'd work to optimise sales at whatever price level they, as a retailer, calculated they'd make most money. They'd presumably also attempt to force wholesale rates down, but publishers could at any time start selling books themselves. In this brave new world they could do that.
The lesson publishers should learn from Apple is - remove DRM and don't let yourself be locked into one retailer. Instead they went bonkers.
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