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Amazon Announces 70 Percent Royalty Option for Kindle Digital Text Platform in the UK
Starting today, authors and publishers worldwide can earn more royalties from every Kindle book sold in the UK

LUXEMBOURG, Oct 06, 2010 (BUSINESS WIRE) -- Amazon (NASDAQ: AMZN) today announced that the 70 percent royalty option for the Kindle Digital Text Platform (DTP) is now available in the UK. For each book sold from the Amazon.co.uk Kindle Store, authors and publishers can choose this option immediately and start earning a 70 percent royalty, net of delivery costs. The Kindle Digital Text Platform (http://dtp.amazon.co.uk) is a fast and easy tool which allows publishers and authors around the world to add their books and start selling in the UK Kindle Store (and Amazon's global Kindle Store on www.amazon.com) in minutes.

Delivery costs are based on file size, and pricing is set at £0.10/MB. At today's median DTP file size of 368KB, delivery costs would be less than £0.04 per unit sold. For example, on an £5.99 (VAT exclusive) book an author would make £2.10 with the standard option and £4.17 with the new 70 percent option. This new option will be in addition to and will not replace the existing DTP standard royalty option.

"The 70 percent royalty option for Kindle Digital Text Platform has been available for a few months for sales to US customers," said Greg Greeley, Amazon Vice President, European Retail. "We are excited to be able to announce the launch of the 70 percent royalty option in the UK. Now authors and publishers worldwide can offer more content to Kindle customers in the UK and make more money from the books they sell."

DTP authors and publishers are now able to select the royalty option that best meets their needs for books sold in the UK and US. Books receiving the 70 percent royalty will have access to all the same features and be subject to all the same requirements as books receiving the standard royalty rate. Under this royalty option, authors and publishers will earn 70 percent of the list price of their books, net of delivery costs. If we sell the book below the list price to match a competitor's price or the physical book price, the royalty will be calculated based on our sales price. In addition, to qualify for the 70 percent royalty option, books must satisfy the following set of requirements:

  • The author or publisher-supplied list price must be between £1.49 and £6.99.
  • The list price must be at least 20 percent below the lowest list price for the physical book.
  • The title is made available for sale in all geographies for which the author or publisher has rights.
  • The title will be included in a broad set of features in the Kindle Store, such as text-to-speech. This list of features will grow over time as Amazon continues to add more functionality to Kindle and the Amazon.co.uk Kindle Store.

The 70 percent royalty option is for in-copyright works only.

DTP is a fast and easy self-publishing tool that lets anyone upload and format their books for sale in the Amazon.co.uk Kindle Store (www.amazon.co.uk/kindlestore). To learn more about the Kindle Digital Text Platform in the UK, visit http://dtp.amazon.co.uk or e-mail dtp-support@amazon.com.

The all-new Kindle has an electronic-ink screen with 50 percent better contrast, a new sleek design with a 21 percent smaller body while still keeping the same 6-inch-size reading area, 17 percent lighter weight at just 241 grams, 20 percent faster page turns, up to one month of battery life with wireless off, double the storage to 3,500 books, no glare even in bright sunlight and built-in Wi-Fi--all for only £109. The all-new Kindle 3G with all of these new features plus the convenience of free 3G wireless is only £149.

Kindle offers the largest selection of the most popular books people want to read. Customers can choose from over 435,000 books, including New Releases and 81 of 100 Nielsen UK Bestsellers. No other e-bookstore in the UK offers this many books or bestsellers. Over 1 million free books are also available to read on Kindle. Kindle lets you Buy Once, Read Everywhere--on Kindle, Kindle 3G, Kindle DX, iPad, iPod touch, iPhone, Mac, PC and Android-based devices. Amazon's Whispersync technology syncs your place across devices, so you can pick up where you left off. With Kindle Worry-Free Archive, books you purchase from the Amazon.co.uk Kindle Store are automatically backed up online in your Kindle library on Amazon.co.uk where they can be re-downloaded wirelessly for free, anytime.

Customers can discover full details and order the new Kindle and Kindle 3G today at www.amazon.co.uk/kindleWi-Fi and www.amazon.co.uk/kindle3G.

About Amazon

Amazon.com, Inc. (NASDAQ: AMZN), a Fortune 500 company based in Seattle, opened on the World Wide Web in July 1995 and today offers Earth's Biggest Selection. Amazon.com, Inc. seeks to be Earth's most customer-centric company, where customers can find and discover anything they might want to buy online, and endeavors to offer its customers the lowest possible prices. Amazon.com and other sellers offer millions of unique new, refurbished and used items in categories such as Books; Movies, Music & Games; Digital Downloads; Electronics & Computers; Home & Garden; Toys, Kids & Baby; Grocery; Apparel, Shoes & Jewelry; Health & Beauty; Sports & Outdoors; and Tools, Auto & Industrial. Amazon Web Services provides Amazon's developer customers with access to in-the-cloud infrastructure services based on Amazon's own back-end technology platform, which developers can use to enable virtually any type of business. Kindle, Kindle 3G and Kindle DX are the revolutionary portable readers that wirelessly download books, magazines, newspapers, blogs and personal documents to a crisp, high-resolution electronic ink display that looks and reads like real paper. Kindle 3G and Kindle DX utilize the same 3G wireless technology as advanced cell phones, so users never need to hunt for a Wi-Fi hotspot. Kindle is the #1 bestselling product across the millions of items sold on Amazon.

Amazon and its affiliates operate websites, including www.amazon.com, www.amazon.co.uk, www.amazon.de, www.amazon.co.jp, www.amazon.fr, www.amazon.ca, and www.amazon.cn. As used herein, "Amazon.com," "we," "our" and similar terms include Amazon.com, Inc., and its subsidiaries, unless the context indicates otherwise.

About Amazon.co.uk

Amazon.co.uk opened its virtual doors in October 1998 and strives to be Earth's most customer-centric company, where customers can find and discover anything they might want to buy online, and endeavours to offer its customers the lowest possible prices. Amazon.co.uk and other sellers offer millions of new, refurbished and used items in categories such as Baby, Books, Car & Motorbike, Clothing, DIY & Tools, DVD, Electronics & Photo, Grocery, Health & Beauty, Home & Garden, Jewellery, MP3, Music, Musical Instruments & DJ, Office, PC, Pet Supplies, Shoes, Software, Sports & Leisure, Toys & Games, Video Games and Watches. Kindle and Kindle 3G are the revolutionary portable readers that wirelessly download books, magazines, newspapers, blogs and personal documents to a crisp, high-resolution electronic ink display that looks and reads like real paper. Kindle 3G utilises the same 3G wireless technology as advanced mobile phones, so users never need to hunt for a Wi-Fi hotspot. Kindle is the #1 bestselling product across the millions of items sold on Amazon.com. Amazon Web Services provides Amazon's developer customers with access to in-the-cloud infrastructure services based on Amazon's own back-end technology platform, which developers can use to enable virtually any type of business.

Amazon.co.uk is a trading name for Amazon EU S.a.r.l, Amazon Services Europe S.a.r.l and Amazon Media EU S.a.r.l. All three are wholly owned subsidiaries of global online retailer Amazon.com, Inc (NASDAQ:AMZN), located in Seattle, Washington. Amazon and its affiliates operate websites, including www.amazon.com, www.amazon.co.uk, www.amazon.de, www.amazon.co.jp, www.amazon.fr, www.amazon.ca and www.amazon.cn. As used herein, "Amazon.com," "we," "our" and similar terms include Amazon.com, Inc., and its subsidiaries, unless the context indicates otherwise.

Forward-Looking Statements

This announcement contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Actual results may differ significantly from management's expectations. These forward-looking statements involve risks and uncertainties that include, among others, risks related to competition, management of growth, new products, services and technologies, potential fluctuations in operating results, international expansion, outcomes of legal proceedings and claims, fulfillment center optimization, seasonality, commercial agreements, acquisitions and strategic transactions, foreign exchange rates, system interruption, inventory, government regulation and taxation, payments and fraud. More information about factors that potentially could affect Amazon.com's financial results is included in Amazon.com's filings with the Securities and Exchange Commission, including its most recent Annual Report on Form 10-K and subsequent filings.

SOURCE: Amazon.com, Inc.

Amazon.co.uk Ltd
Press office, 020 8636 9280
kindlepr-2@amazon.com


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