| The publishing world is changing rapidly. No one | | | | approximately half of the hardcover retail list price. |
| knows what the book publishing and book selling | | | | Consequently, other publishers fear that eventually |
| landscape will look like if Borders Books were to | | | | Amazon and Sony will become tired of losing money |
| disappear or if they will be closing only a few | | | | on the books they sell on their e-readers and |
| of their stores. But Borders, which is said to control | | | | demand that publishers take a discounted price for |
| about 10-12 percent of the bookselling market, is | | | | the books they wholesale to them. |
| already closing some of their stores around the | | | | While Kindle and other e-readers may in the future |
| country. With the worsening recession and the | | | | offer more books released simultaneously in |
| decline of the music bricks and mortar stores where | | | | hardcover form and on digital form, the increased |
| albums and CDs once were sold prior to the purchase | | | | availability of these books could lift sales across all |
| and download of individual songs and music sharing | | | | forms of distribution, just as audio books did. It is |
| over the internet, Borders has reportedly seen its | | | | more likely, however, that with e-books selling at the |
| position in the retail of books and music seriously | | | | discounted price of $9.99, if Amazon and Sony |
| erode the past few years, which is good reason to | | | | demand lower wholesale prices, publishers will want |
| start purchasing books at Borders. No one in the | | | | to delay the release of books on e-readers just as |
| industry wants to see major players disappear and | | | | film studios delay the release of movies to DVD in |
| one can only hope that years from now, they'll still be | | | | order to capitalize on the higher prices for hardcover |
| around. | | | | books. This leverage is what the publishers have on |
| If you have a publishing, entertainment or literary | | | | their side to counter any demands by Amazon or |
| rights legal matter, visit our website at and call us at | | | | Sony for lower wholesale pricing. |
| any of the numbers easily found on our website. | | | | At least one publisher’s imprint is trying to work |
| But there is also the affect on the publishing | | | | out contracts with booksellers and authors capping |
| business by the "big-box" merchandisers such as | | | | advances at $100,000 and reducing the number of |
| Wal-mart, Target and Costco that now account for | | | | returns pitching profit-sharing proposals to authors as |
| 30 percent of the book market. These stores carry | | | | the way of the future. Some independent publishers |
| a limited number of titles and reportedly sell them for | | | | sees the future as one where eventually, books will |
| below cost as a "loss leader" to attract people inside | | | | be produced and distributed electronically for little |
| their stores. Book publishers also wholesale their | | | | cost. |
| books to these large merchandisers at a discount. | | | | Just as the music industry suffered under its years |
| Independent book stores combined only account for | | | | of transition to the current situation where individual |
| approximately 10 percent, Barnes and Noble | | | | songs are downloaded or shared and the sale of |
| approximately 20 percent and Amazon the rest. With | | | | entire albums or cds will never again see sales of the |
| those numbers, if Borders disappears completely, | | | | magnitude of Michael Jackson’s "Thriller" album, |
| book publishers have little leverage to play one | | | | so to in the publishing world, as their world changes |
| bookseller off against another in order to sell more | | | | around them, some publishers will adapt to change, |
| books. One can only hope that the economy turns | | | | some will not, and some will die a slow or surprisingly |
| around quickly and that Borders as well as other | | | | fast death depending upon how fast e-publishing |
| independent booksellers survive. | | | | takes hold and Amazon gains market share, how |
| Large publishing houses have been laying off their | | | | quickly they adapt to the changes in the publishing |
| employees as they have seen their sales decrease. | | | | industry and depending on whether they continue to |
| While in some cases this is the result of the | | | | make good bets or bad on what they believe the |
| recession, in other cases it’s the result of bad | | | | public will want to read. |
| bets by these publishing houses as to the type of | | | | While the bar may be raised for new authors to |
| books they have gambled will appeal to the general | | | | have their works accepted by mainstream publishers |
| market. When a publishing house provides a large | | | | as these publishers become more careful in what |
| advance to an author and the book does not recoup | | | | they publish and the advances they offer new |
| that advance and all the other costs of publishing and | | | | writers, there will always be independent publishers |
| distribution, the book publisher suffers a loss that can | | | | willing to take chances and able to take advantage of |
| be substantial. If they make too many of these bad | | | | the opportunities offered when those mainstream |
| bets, they can go out of business. | | | | publishers focus on more established authors. |
| In addition, Google has been increasing its databank | | | | One thing is clear. The industry is changing and |
| of books. Google scans books and makes them | | | | change will come faster than most can imagine it. |
| available on their search engine and pays book | | | | The other thing to remember is, books will always be |
| publishers for the right to do so. There are already | | | | with us. They may be in different forms as e-readers |
| over seven million books already scanned by Google. | | | | gain in popularity and audio books continue to be |
| On the positive side, one can look at the increase in | | | | popular, but in general, new technologies tend to help |
| online reading and the flood of people coming into | | | | an industry rather than hurt it. In this case, the new |
| public libraries as a result of the recession to come | | | | forms of distribution will probably help the book |
| away with the belief that the demand for books in | | | | publishing industry to become more flexible and reach |
| the future will experience a considerable growth. | | | | a wider audience than ever before. |
| Libraries can’t keep purchase enough copies of | | | | Visit our website at and call us if you have an |
| new books to satisfy their ever-growing number of | | | | entertainment, publishing or literary rights legal matter |
| patrons. On top of the increased numbers of people | | | | and wish to retain attorney Sebastian Gibson. |
| flooding into libraries, reading rates among Latinos and | | | | As a California publishing lawyer and literary rights |
| young people in general are rising rapidly. | | | | attorney with knowledge of the changes taking place |
| Amazon has also seen it’s sales grow for all | | | | in the publishing industry, Sebastian Gibson provides |
| media products, and books in the romance category | | | | legal services to his entertainment clients in the |
| at all booksellers have recently been enjoying a 7 to | | | | literary and publishing world. A California lawyer for |
| possibly 10 percent growth (no one is quite sure | | | | writers and authors, Sebastian Gibson is a |
| since Bookscan, the industry tracking service, | | | | knowledgeable attorney in the publishing industry and |
| doesn’t track sales at the "big box" retailers. | | | | experienced negotiator. Sebastian Gibson does not |
| It’s believed that Bookscan only tracks about 70 | | | | accept unsolicited submissions. Indeed, unsolicited |
| percent of book sales as these "big box" retailers | | | | submissions must unfortunately be returned |
| now account for 30 percent of the market. | | | | unopened and certified mail submissions are |
| Some book publishers, however, fear that with | | | | regretfully refused. |
| Kindle, Amazon may be intending some day in the | | | | Only those authors who have been unable to secure |
| not too distant future on being a vertical publishing | | | | the services of a literary agent willing to represent |
| conglomerate of it’s own, avoiding any | | | | them for a percentage of their book royalties and |
| middlemen, any publishers, and taking the entire | | | | who have the ability to pay for attorney fees and |
| business from acquisition to the purchaser. The future | | | | who still wish to seek the services of Sebastian |
| of going straight from acquisition to Kindle is already | | | | Gibson for his assistance may send an e-mail |
| here with two recent biographies going straight to | | | | requesting such services. Writers should keep in mind, |
| Kindle before ever being published. Simultaneous | | | | however, that hiring an attorney to perform what |
| releases, however, may turn out to be only a short | | | | may amount to scores if not a hundred hours or |
| term experiment that is soon forgotten. | | | | more of an attorney’s time is a costly venture. |
| There is also concern that if Amazon were to corner | | | | A return e-mail to writers seeking to hire Sebastian |
| the market, they could force publishers to accept | | | | Gibson on this basis will provide a cost estimate for |
| whatever they demanded, and many if not most | | | | the assistance of Attorney Sebastian Gibson in |
| publishers simply would no longer be able to exist. | | | | editing the author’s cover letter for submission |
| Some agents see the demise of book publishers if | | | | to publishers and editors, the editing or revision of |
| Amazon with their Kindle and other acquisitions in the | | | | any book proposals, editing of the manuscript, |
| publishing industry take over 10 to 20 percent of the | | | | copying charges, materials and/or determining which |
| book publishing market in addition to their already | | | | agents and publishers are best suited for the |
| strong bookselling dominance online. | | | | author’s project. Additional attorney fees are |
| While Kindle is the leading product in the e-reader | | | | charged for submitting the project to publishers for |
| category and now prices it’s books at just under | | | | the sale of foreign translation rights, and submissions |
| $10, the Sony Reader is also attracting attention and | | | | for television and film rights. |
| one can only suspect it won’t be long before | | | | A power attorney or super literary agent such as |
| Apple and other companies join in the competition for | | | | Sebastian Gibson represents writers and assists them |
| e-readers. Recently, Sony joined Amazon in | | | | in having their manuscripts and projects bought at |
| charging a flat price of $9.99 for books on its | | | | auctions by editors on behalf of their publishers and |
| e-readers and lowered the prices of its newest | | | | either for a flat fee or based on his hourly rate, will |
| models. | | | | assist an author with preparation of a book proposal |
| While some publishers are expressing alarm about | | | | and its submission to publishers in the U.S. and |
| Amazon and the effect the growing use of e-readers | | | | abroad. Attorney Sebastian Gibson will also assist an |
| may have on the industry, others are less worried. | | | | author in selling foreign translation rights, dramatic film |
| Some publishers believe they will still be able to | | | | and television rights, multi-book deals, and the |
| charge the same amount to Amazon which it is | | | | negotiation of all contracts and the terms such as the |
| believed takes a loss on the books that it then sells | | | | royalty percentages and the author’s advance. |
| at a lower price. Book publishers still get | | | | |