Most of the publishers dropped the agency model: http://www.readwriteweb.com/biz/2012/09/ebook-settlement-big-win-for-amazon-consumers.php http://www.readwrite

Most of the publishers dropped the agency model: http://www.readwriteweb.com/biz/2012/09/ebook-settlement-big-win-for-amazon-consumers.php http://www.readwriteweb.com/biz/2012/09/ebook-settlement-big... Edit: additionally, Amazon has their Prime service which gives additional discounts to subscribers who tend to be big purchasers. Free shipping, online movies and TV shows are $0 while many ebooks are heavily discounted. All of that contributes towards Amazon having razor-thin margins for Kindle content.