The New York Times reports Hachette Book Group “is bulking up for a long-term battle with Amazon” with a close to finalized acquisition of non-fiction publisher Perseus Books. Arguing that the merger of Random and Penguin House “[made] it harder for Amazon not to carry their books”, the Times’ Leslie Kaufman believes a Hachette-Perseus union will strengthen the publisher’s position in negotiations between publishers and Amazon. (The e-tailer wants publishers to pay higher fees to sell their e-books on Amazon, and reduce prices.)
I think rather than focusing their fight on Amazon, publishers and writers should create their own distribution/sales channels. That way, no one retailer will be able to destabilize the business.