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From O'Reilly's So You Want To Write A Book(1)

On working with authors:

We won't do anything without your knowledge and consent. We regard the relationship between editor and author as one of two people working together to create the best possible product. If the two of you can't agree, we may give the editor the final say because we know our editors are all reasonable people! But this doesn't mean that we'll run roughshod over your material and surprise you in print.

Marketing:

at O'Reilly & Associates, we publish only one book per topic, and we promote it as long as there is still a need for it. Our books complement each other, so the sales of one book help the sales of others on related topics. While we do sell a lot through bookstores, we don't think our job is over once the bookstore has ordered. We continue to support the book with clever promotions, advertising, and publicity.

One important aspect of our marketing strategy is that we work to create demand with the ultimate consumer--the reader--rather than just with the bookstore. Mail order advertising through pieces like our award winning catalog, ora.com, is an important part of that demand creation.

Royalties:

We will pay you a royalty of 10% of all net income we receive as a result of our distribution of the book, in any form, printed, electronic, or other, or from the license or sale to third parties of any rights in a derivative work.

1. http://oreilly.com/oreilly/author/ch03.html



That page hasn't been updated for a long time: "In fact, Borders, the most respected and successful bookstore chain in the country, reports that ORA is their top publisher."


10% of net income does not sound like a good deal at all. 10% of gross revenue for the product would be much better, but still why so little?

It's also 10% of any form, even electronic:

"as a result of our distribution of the book, in any form, printed, electronic, or other, or from the license or sale to third parties of any rights in a derivative work."


Especially since "net income" is basically a made up number. If they buy a new factory to print books out of, they can divide up the cost however they want amongst their authors. Stuff like that. "Net income" is entirely under their control.




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