Rich Freese

On his “Publishing 2020” blog, Joe Wikert, general manager of O’Reilly Media’s Technology Exchange Division, mused recently about the long-term viability of the closely watched deal between Borders and HarperStudio, whereby the bookstore chain will purchase HarperStudio titles at a 10-percent to 15-percent discount in exchange for accepting a no-returns agreement. As a result, Wikert wrote, Borders will probably be less aggressive with initial buys and could find itself out of stock in the face of a hit—not a good situation for either party. On the other hand, having to sell all of the books it purchases most likely means Borders will more aggressively market HarperStudio titles—just the sort of incentive lacking in the current system.