Home » Amazon, Big Publishing » Amazon has officially won the multibillion-dollar self-publishing market

Amazon has officially won the multibillion-dollar self-publishing market

28 January 2016

From Quartz:

Penguin Random House, the largest book publisher in the world, is chopping off its self-publishing arm. The company said Tuesday (Jan. 5) that it has sold Author Solutions—the self-publishing author-tools platform that it bought in 2012—to an unnamed affiliate of US private equity firm Najafi Companies for an undisclosed sum.

. . . .
 By the numbers, self-publishing should be a lucrative endeavor.In 2015, author-published books accounted for 18% of the entire book market in the US; the industry’s growth is staggering, and some firms predict the business could eventually get as big as $52 billion.

. . . .

 Analysts told the Financial Times that Penguin Random House likely sold the company for a fraction of the $116 million it paid in 2012.

But whether driven by sinking profits or negative publicity, Penguin Random House’s exit from self-publishing is also an admission of defeat: The giant self-publishing market essentially now falls largely to Amazon, which already churns out an estimated 85% of self-published titles via its various platforms.

Link to the rest at Quartz and thanks to Jan for the tip.

Amazon, Big Publishing

15 Comments to “Amazon has officially won the multibillion-dollar self-publishing market”

  1. I’m sorry, but the equation of Author Solutions and Amazon as fundamentally in the same business is a non-starter.

    From such falsities, there was no way to get to Go.

    Oddly, the title is basically true.

    • Notice the use of “churns” when referring to Indies instead of the more accurate “distributes” or “hosts”. They still try to present Amazon as the producer.

      And so it goes…

      • True.

        But notice the use of “Billions?”

        • We knew that since last year but *is* nice to see the tradpub camp start to admit it.

          What makes it more interesting is that the BPHs net profit off their $9B gross is only $1.1B, and their authors take home is roughly that much. So there is a good chance Indie, Inc is netting more than the BPHs and their autbors, combined.

          And, for bonus points: the distribution isn’t as top heavy.

  2. And again we have a sound byte carefully ignoring the Author Solutions bits Penguin Random House is still using to make money off self publishers …

    • And ignoring that vanity presses and independent publishing are two completely different things that both happen to be called self-publishing. (Everyone please stop referring to all pay-to-publish scams as self-publishing. Thank you very much.)

      • Ah, but vanity press calls itself ‘self-publishing’ to hook in those that don’t know/understand the difference.

        So they’d rather lie about what they are because the truth would lose them customers/suckers and the money they bring in …

  3. The recycling of old ‘news’ with a different twist in a new irresponsible and uninformed direction constantly amazes me.

    I don’t know why – I should be used to it; after all, politicians do it constantly.

    All that creativity – gone completely to waste: no new content.

  4. I agree with what’s been said. And may I add that Amazon, in my opinion, has succeeded by partnering with authors. They may offer paid services, but they offer much more, very high quality stuff that’s free. And the paid stuff is never required, in my experience.

  5. Chop off a solution and two shall take it’s place!

    Hail, Penguin!

  6. Keep in mind that it was Penguin that acquired Author Solutions and then Random House bought control of Penguin. But it was the newly combined Company, Penguin Random House that decided to sell it off as well as to combine many imprints and personnel.

    • And yet both of them continued to scam authors to the tunes of thousands with the promise of bestsellers and riches!

      It matters not who owns it, owned it, or had their hands in it. It matters not that PRH is dumping it because it has a toxic reputation.

      So, tell me again why it matters who bought it and who sold it off when both are guilty perpetuate a terrible scam that preys on peoples’ hopes and dreams?

      • My understanding is that even though PRH sold Author Solutions, it still maintains a vanity imprint that is managed by AS.

      • It matters because AS cannot use its association with an established publiser to boost credibility with potential clients.

        Claiming to be a member of the Najafi Companies carries much less weight with clients than claiming to be a member of the Penguin family.

        • The ASI itself, yeah, but they still have vanity imprints with all the major publishers. As we’ve heard stories of those publishers ‘refer’ wannabe writers to those vanity imprints when they don’t ‘want’ it themselves.

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