eBooks for iPad may be cheaper than we think

One of the cool services that was unveiled along with the iPad was the new Apple eBook store. The problem with the store that Apple unveiled is that the tech company had negotiated prices with the publishers that would have the books selling for more than they do elsewhere such as Amazon.

After Apple agreed to the price, some publishers held Amazon's feet to the fire to get the company to increase the price the books sell for. Whereas prices for many new books on Amazon were $9.99, the price for the books via Apple would range from $12.99 to $14.99. The New York Times reports that people with knowledge of the discussions between Apple and publishers have said that the price range quoted by Apple was merely the price ceiling.

According to the NYT sources, the price for some new titles could match the $9.99 price Amazon offers. The Apple system reportedly will see brand new releases at times list for $14.99 and once it's on the best sellers list the price would drop to $12.99. That is still more expensive than the $9.99 Amazon is offering for books. The Apple system is designed for both the publisher and Apple to make a profit. The $9.99 price that Amazon offers was selling the books at close to a loss to get people to buy the Kindle reader.