Quote:
Originally Posted by Cinisajoy
And how much of that did they make off their subscription service?
I wonder how close those two numbers correlate.
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KU is a loss leader for Amazon. Once you are on Amazon to find a new book to read, you might click to another items on Amazon. The very definition of a loss leader.
I doubt Amazon makes a profit on KU.
People who subscribe to KU are mostly avid readers. If you read 2-3 books a month, you are not likely to subscribe since you won't get your money worth.
After Scribd burns through the venture capital money, it will be in trouble.
Oyster already fold.
To pay $400 million a year in royalties to books that enrolled in the Kindle Unlimited program shows that KU is a huge hit.
If it could get to $1 billion a year in payout, it would be a huge force to be reckon with.