You may have heard the news that Penguin Group has bought Author Solutions—one of the larger self-publishing platforms—for $116m. Not only is that a lot of money to invest in a company, it also speaks quite a bit about how traditional publishers have started to view self-publishing.
There’s no doubt that the current eBook market has seen a number of self-publishers find a great deal of success and notoriety. With this investment, it looks like Penguin is betting that self-published authors are a big part of publishing’s future. It is also a step in lending credibility to the self-publishing marketplace and its authors, who were once viewed as writers as who just couldn’t hack it as professional authors. Now, with the potential backing of a Big 6 publisher, that stigma may disappear.
It is still unclear how Author Solutions will be integrated into Penguin, though. Will Author Solutions replace Penguin’s Book Country platform? Or, more interestingly, will Penguin open up its own self-publishng arm (like Amazon’s KDP or Barnes and Nobles PubIt!)?
What do you think of Penguin’s big buy? Do you think we’re likely to see similar purchases in the future?