With the iPad openly poised to attack the Kindle in the e-books business, the clash is not only between two major players, but between two astonishingly diverse philosophies. Apple is all about total control, Amazon is all about the long tail. More than that, Apple is all about inserting itself in and enlarging the margin between its customers and their desires – with the omnipresent ‘i’ in front of your pod, pad, computer, mouse, earphones, keyboard, screen, operating system, etc. You shall desire only the iThing. The paradigm for Apple is the top-down guru-led religious cult. Amazon on the other hand is about extending the channel of distribution as far as the customer’s most insignificant desires – they have built that into their core company DNA. You read as a kid a long-forgotten pirate book by Sabatini and suddenly feel the urge to re-read it? Yes, it’s out of print, but not only are we going sell you that book, we can offer you these 5 other books which people like you recently bought. The paradigm here is the Damascus souk. You want a jade necklace? I don’t have them but my cousin’s brother in law knows someone who has, and I will sell it to you for a discount, together with this rose-wood box (you need to keep them somewhere).
So, back to the iPad and Kindle, a recent article in the New Yorker by Ken Auletta describes nicely the situation the publishing business will have to face in the near future. E-books are the future – judging by the massive sales Amazon is doing through the Kindle – but are publishers part of this future? Apple wants to lock in customers and publishers into the cult – no doubt practicing iReading. Publishers would still get their cut, which sure beats not getting anything. Amazon wants to eliminate the publishers altogether and deal directly with authors and readers. One obvious result will be that the barrier to author publishing will fall drastically.
Needless to say, publishers are not too warm for the Amazon future. The best summation of the issue – publisher control over authors, content, and readers – comes from Tim O’Reilly: “They think their customer is the bookstore,” he says. “Publishers never built the infrastructure to respond to customers.”