Quote:
Originally Posted by DuckieTigger
Amazon has not lost any money on the scams, far as I am aware. They know the amount of money that comes from subscribers and the total pages read. Then they can adjust the amount of payouts per page read accordingly each month. What Amazon cannot afford though is subscribers leaving and authors removing their content from KU.
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That's really the issue. Yes, things are set up so that Amazon can not lose money. My understanding is that they get $X, take their cut, then split the rest between authors based on some algorithm. They can't afford a death spiral of authors leaving because they aren't making enough money and subscribers leaving because they can't find anything they want to read.