Amazon Has Publishing Disruption Power: Sonenshine

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July 14 (Bloomberg) -- Marshall Sonenshine, chairman and managing partner at Sonenshine Partners, explains the business behind the e-book price war between Amazon and Hachette. He speaks on “Bloomberg Surveillance.”

Of rosetta books.

Amazon, friend or foe?

In terms of our business, they're very much our friend and everybody's friend.

You will notice that even the authors guild was very tepid in their critique of amazon and all of this.

Secondly, one has to be very careful.

We don't know the terms of the negotiations going on between amazon and the publisher.

Everyone wants to be an armchair -- they are not a small company.

It is a little bit like if you turn on your tv last year and saw you could not get your sports game on, tom, because the cable company and the sports network do not agree on terms.

They could each vie for your opinion in that matter.

We don't know what the terms are.

Thirdly, what this is really about, is not bullying by amazon but the market power that came from being an innovator in an industry that badly needed it.

Disruption seems to be the theme of the day.

That the crushing sunny here in the book industry is creating disruption.

This is an industry that needed it.

The big publishers are owned the wrong side of the history most of the debates that have happened in the last decade.

You reached a claim with recapitulating and strengthening their brand of ancient authors winston churchill among others.

When you look at this and say, what is good for authors, how can the authors avoid the pitfalls we've seen in music copyright?

I'm not entirely sure anyone can endure the pitfalls that digitization and digital technology brings, which is more content and greater volume at lower cost.

It did hurt musicians.

I care about musicians, but there's nothing we can do about the fact a song costs only $.99. there's not a lot we can do about the fact musicians galore shares of those revenues than they used to.

It is upsetting, but we have to play the game the civilization plays.

So is the distinction music is streaming whereas books are still per unit?

There is some of that.

If you look at the transition to digital music, it almost seems transitional and books is like giving birth to an elephant.

It is the internet, physical distribution and digitization, the ability to read on screen as these millenials do.

That change has upset the apple cart of a very, very quiet, happy, comfortable industry that no longer can play the game the way they used to.

If i decide to write a book this summer, what would be the best way to distribute said book?

E-books or self-publishing or the traditional -- you will find it difficult because everybody has to get the mind share an opportunity to publish in the big five.

It won't be so easy.

If you're a big name like james patterson, he gets a lot of that.

You won't necessarily.

You might turn to the digital model.

Be careful what you ask for, you may get it.

If nobody knows your book is there, it will just sit in a server.

What rosetta books does, it represents authors to make sure they get seen and purchased.

We are now doing that for harvard medical school and mayo clinic in the market association of retired persons, all of whom have a lot of content.

Adding the content in front of consumers, even at lower cost, is an art and exciting if you stop whining about nostalgia and start talking about how the

This text has been automatically generated. It may not be 100% accurate.


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