Music Ally

Former eMusic boss David Pakman has penned a blog post warning book publishers not to repeat past mistakes of the music industry when it comes to setting the prices of e-books.

The post comes as Amazon faces a battle with leading publishers, who want to charge more for e-books than the flat $9.99 it’s been charging on the store for its Kindle e-reader. Hachette and Macmillan have already announced plans to switch to an ‘agency model’ where they control the prices.

Pakman says the publishers’ arguments for charging more for e-books are all about self-interest:

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Outspoken eMusic CEO David Pakman is sharpening his claws for rival Amazon’s MP3 Store again, telling Silicon Valley Insider that he estimates it only has 4-5% of the US digital music market, compared to eMusic’s 10-15% (this is based on number of tracks downloaded, not revenue). (more…)