Random House Holding Out From iBookstore Amid Fears of Price Wars

103705 random house

Financial Times reports that Random House, the world's largest book publisher, has yet to sign on to Apple's iBookstore and may not do so before the iPad's April 3rd launch as it weighs fears that Apple's agency model for eBook pricing will result in a price war, eroding publisher profits.

Markus Dohle, Random House chief executive, did not exclude the possibility of reaching a deal before the iPad goes on sale on April 3, but said he was treading carefully, as Apple's pricing regime could erode established publishing practices.

Rather than allowing retailers to set their own pricing for books, Apple is building on its existing App Store model to allow publishers to set retail sales prices, with Apple taking a 30% cut of revenue. Apple has argued that the change will allow publishers to create more sustainable business models than the current system of relying on the willingness of distributors such as Amazon to sell content at little profit or even a loss, and a number of major publishers have accepted Apple's proposed tradeoff in view of their long-term viability. Random House, however, remains unconvinced and is still working with its authors and agents to assess the potential impact of a shift to Apple's agency model.

Popular Stories

Apple CarPlay Ultra instrument cluster themes 01

Apple's CarPlay Ultra Is Here – Does Your iPhone Support It?

Thursday May 15, 2025 5:17 am PDT by
Apple's recently announced CarPlay Ultra promises a deeply integrated in-car experience, but not all iPhone users will be able to take advantage of the new feature. According to Apple's press release, CarPlay Ultra requires an iPhone 12 or later running iOS 18.5 or later. This means if you're using an iPhone 11, iPhone XR, or any older model, you'll need to upgrade your device to access...
Apple CarPlay Ultra instrument cluster themes 01

Apple's 'CarPlay Ultra' Experience Now Available

Thursday May 15, 2025 5:07 am PDT by
Apple today announced that its next-generation CarPlay experience, now dubbed "CarPlay Ultra" begins rolling out today, starting with Aston Martin vehicles. Subscribe to the MacRumors YouTube channel for more videos. CarPlay Ultra is now available with new Aston Martin vehicle orders in the U.S. and Canada. It will also be available for existing models that feature the brand's next-generation ...
CarPlay Ultra Climate Controls

Apple Says These Vehicle Brands Plan to Offer All-New CarPlay Ultra

Thursday May 15, 2025 8:13 am PDT by
Apple today announced the launch of CarPlay Ultra, the long-awaited next-generation version of its CarPlay software system for vehicles. CarPlay Ultra features deep integration with a vehicle's instrument cluster and systems, built-in Radio and Climate apps, customizable widgets, and more. The interface is tailored to each vehicle model and automaker's identity, and drivers can also adjust...
iPhone 17 Air Pastel Feature

iPhone 17 Air Battery Capacity and Weight Allegedly Revealed

Monday May 19, 2025 2:22 am PDT by
Apple is expected to launch an all-new ultra-thin iPhone 17 Air later this year, and while there have been plenty of rumors about the camera's overall design and thinness, we haven't heard any details about the device's weight and battery capacity until now. According to the leaker going by the account name "yeux1122" on the Korean-langauge Naver blog, the 6.6-inch iPhone 17 Air has a weight ...
iOS 18 Siri Personal Context

Apple Will Reportedly Be More Cautious About Announcing New Features Well in Advance

Sunday May 18, 2025 2:50 pm PDT by
Apple plans to mostly stop announcing new features more than a few months before they are ready to launch, according to Bloomberg's Mark Gurman and Drake Bennett. The pair of reporters revealed this noteworthy tidbit towards the bottom of a lengthy report about Apple's artificial intelligence shortcomings today. This alleged change in strategy comes after Apple was forced to delay its more...
iPhone Siri Glow

Apple Will Reportedly Let iPhone Users in the EU Switch Away From Siri

Sunday May 18, 2025 2:31 pm PDT by
Apple is planning to give users in the EU the ability to set a default voice assistant other than Siri, according to Bloomberg's Mark Gurman and Drake Bennett. In a lengthy report about Apple's artificial intelligence shortcomings today, Gurman and Bennett said Apple plans to introduce this change across multiple software platforms, which likely means the iPhone, iPad, and Mac at a minimum. ...