Apple's iBooks Prices May Be Lower Than You Think

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Earlier this month there was a controversy over the price of eBooks. Amazon claimed that the “Big Six” book publishers were now pressing for variable $14.99 pricing in the Kindle Store, (vs. the Kindle’s average price of $9.99) and the impending iPad was seen as their leverage in the discussion. Now, the New York Times is reporting that the iBooks store will have a variable pricing, and some titles will be lower than the $14.99 expected.

The New York Times cited “three people familiar with the situation” who said that Apple has secured a part of the deal that they will be able to sell the most popular books “on sale” at a cost lower than the $12.99 – $14.99 range that most books will sell at.

The New York Times speculates that most books will sell in the $12.99 – $14.99 range, but once they make an appearance on a best-seller list (ironically, the New York Times best-seller list is one of the most respected in the industry), then Apple would be able to sell the book at a lower price.

While it might seem strange that they would sell a popular book at a cheaper price, the New York Times reports that is a common practice at brick and mortar book stores who offer a slight “best-seller” discount.

The NYT’s sources also say that Apple views physical books, not Amazon and the Kindle Store, as their primary competitors with the iBooks store and the iPad. The sources have also revealed that the debate of eBook pricing is being fiercely debated within book publishers, so the eBook pricing drama might not be over yet.