I?m seeking information about the eBook industry.  Fictionwise.com
seems to be the current market leader.  They charge very high prices
so I?d expect them to be big money makers, but I came across some
literature stating they?re only a breakeven company.  This confuses
me.  No cost of printing, no discounts to wholesalers, no electric
bills, no editor, no typesetter, no cover designer? why no huge
profits?  What kind of royalties are they paying authors and
publishers?

Also, how much potential is in the eBook market right now?  I?d like
to know some numbers ? is the industry growing?  Are people purchasing
eBooks?  How many eBook reading devices are sold every month or year? 
I'm looking for any relevant statistics.

Thanks!

Hi whoamamma~

I'm not surprised that fictionwise isn't a flourishing company, for
several reasons. Number one, fiction is a tough sell, even in the
traditional publishing field. Nonfiction books are almost always more
marketable. Second, eBooks have yet to truly catch on. People, in
general, still prefer to read traditional books, rather than hassle
with an eBook.

BTW, the fictionwise website states that they pay a 30% royalty (on
gross sales) to the author.

Kriswrite