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I think publishers will continue to be around, and will play a role in making successful self-published authors even bigger. They'd play more of a marketing and print distribution role, and perhaps also doing additional editing to an already mostly-polished book.
I think the nature of the online slushpile is not that big of a deal, as readers can instantly spot what is good or terrible writing from the first few pages. Readers also only recommend books when they're well-written and excel in all components, not just on price. I think good books will rise to the top, the problem is that it can take a while, and having a big publisher can speed up the process and create more visibility.
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