Amazon raises Kindle rates for publishers

Amazon.com has sweetened the pot for print publishers by increasing the payment percentage they receive for magazine and newspaper subscriptions sold for its Kindle electronic reader.

The internet retail giant announced Monday that print publishers can earn 70 per cent of the retail price — minus Amazon's delivery costs — beginning Dec. 1.

To qualify, newspaper and magazine publishers must adhere to certain terms, including:

• Presenting formats that can be read on all Kindle devices and applications.
• Presenting content in all countries where the publishers hold rights.

Amazon also released a beta version of a new tool to help publishers format their content for sale on the online Kindle store.

Last year, News Corporation chief executive Rupert Murdoch repeatedly complained about receiving too little from Amazon for subscriptions to publications like the Wall Street Journal. Murdoch said Amazon was paying his company a little more than a third of the $14.99 US monthly subscription fee for the Journal, which he described as "not a great deal."

Most magazines and newspapers are increasingly looking to digital platforms and devices like the Kindle, the iPad, the Kobo or smartphones as new ways to reach readers amid a declining audience for traditional print.

"We are constantly working at improving the Kindle magazine and newspaper experience for both customers and publishers," Peter Larsen, director of Kindle periodicals, said in a statement.