29 October 12 | Chad W. Post

Although information started leaking last week, it wasn’t until this morning that the Penguin-Random House merger was made official:

Publisher Pearson says it has agreed a deal with German media group Bertelsmann to combine their Penguin and Random House businesses.

Under the terms of the deal, the two businesses will be run in a joint venture called Penguin Random House.

Bertelsmann will own 53% of the joint venture, while Pearson will own 47%.

First off, I think “Random House Penguin” is a much better name, mainly because of the ambiguity—is it a Random-House Penguin? or a Random House-Penguin? Makes the new über-publisher seem both literary and playful.

The tie-up between Penguin and Random House marks the first deal between the world’s big six publishers. The others are Hachette, HarperCollins, Macmillan and Simon & Schuster. It would bring together the publishers of the Fifty Shades series and Jamie Oliver’s cookbooks.

I keep reading this “Fifty Shades AND Jamie Oliver” line, and, to be honestly ignorant, I have no idea what it signifies. “This new MegaPublisher will publisher Super-Successful Book #1 PLUS Super-Successful Book #2!!!! ZOMG!!” Honestly, if you told me right now that Random House already published both of these, I’d totally buy it. It’s not like these are two random products suddenly being lumped into one administrative mess: “It’s going to combine Twilight and Gilbert Sorrentino!! Holy shitsnacks!”

Anyway, on to the real content: the creepy consolidation of two massive publishing entitles:

Pearson chief executive Marjorie Scardino, who is leaving the firm at the end of the year, said: “Penguin is a successful, highly-respected and much-loved part of Pearson. This combination with Random House… will greatly enhance its fortunes and its opportunities.

“Together, the two publishers will be able to share a large part of their costs, to invest more for their author and reader constituencies and to be more adventurous in trying new models in this exciting, fast-moving world of digital books and digital readers.”

In case you’re wondering, “be able to share a large part of their costs” equals “eliminate redundancies, especially in terms of personnel.” I hate to be the voice of cynicism, but all the “No jobs will be lost! We will rule the world together!” lip-service being paid to Penguin and RH employees has about a 99.9% chance of turning out to be utter and complete bullshit.

Based on recent results, combining the two firms will create a business with annual revenues of about £2.5bn and about one-quarter of both the UK and US book markets. [. . .]

“In the UK the market share will be around 27%, so they may have to divest themselves of some non-core interests,” said Philip Jones from the Bookseller magazine.

27%?! That’s fricking INSANE. And in no way can this be good for the book world. I don’t want to get into all that right now—I have sales calls to make, classes to teach—but putting so much power into the hands of one entity that produces a limited amount of books, yet will be defining culture, is fucked.

Which, for many, will bring to mind Amazon’s position in the marketplace . . .1 Speaking of Amazon:

“Amazon has 90% of the ebook market – if [the competition authorities] allowed that to happen, how can they block a merger that gives Penguin Random House 27%?”

And that’s really what this about, isn’t it? Making a company big enough to negotiate with Amazon in a way that will reap it shittons more money and profit. Great.

*

By random contrast, I just want to point out this WSJ article about the “semi-socialist” Bundesliga. (Referred to as a “soccer paradise.”) It’s a really interesting contrast between the free-spending, unmonitored Premiere League in the UK, and the less-profit motivated Bundesliga in Germany. Not only is the quality of the Bundesliga better—there are more teams with a legit chance to win the title, in contrast to the Chelsea, Manchester x 2, dominance in the Premiere League, or the Real Barcelona duo in La Liga—but the clubs are financially better off (Munich made $230 million last year, which exceeds the commercial revenues of Arsenal and Man United combined) AND more people are attending the matches.

What does this have to do with RHP? Nothing, really. But the idea that there is an alternative model to flat-out late-age hyper-charged capitalism—one that can be more successful in all the key areas—is a very captivating one.

1 This is a bit of a flawed analogy though. Amazon is a provider, a retail outlet that takes what is made elsewhere and dominates the chain from production to consumption. By contrast, Random House Penguin will control what is made available. This is a stark and horrifying difference. Amazon is predicated on the idea that “more of everything is better”—more books sold to more people in more formats equals more money—RHP is all about the production and sale of products that will benefit itself only. For all of the issues that people have with Amazon’s corporate practices, they are geared towards providing customers with what they want, when they want it, and at a reasonable price—it’s their tactics to achieving this that are circumspect. RHP will be about blockbusters and leveraging its enormous impact to restrict buying options, or at least direct customers into buying its products for the benefit of the corporate shareholders. In my mind—in which product diversity trumps everything, since the things I like are often not in line with mainstream anything—this RHP situation is a million times worse.


Comments are disabled for this article.
....
I Called Him Necktie
I Called Him Necktie by Milena Michiko Flašar
Reviewed by Christopher Iacono

While looking back at an episode in his life, twenty-year-old Taguchi Hiro remembers what his friend Kumamoto Akira said about poetry.

Its perfection arises precisely from its imperfection . . . . I have an image in my head. I see. . .

Read More >

Return to Killybegs
Return to Killybegs by Sorj Chalandon
Reviewed by Vincent Francone

The central concern of Sorj Chalandon’s novel Return to Killybegs appears to be explaining how a person of staunch political activism can be lead to betray his cause, his country, his people. Truth be told, the real theme of the. . .

Read More >

The Last Days
The Last Days by Laurent Seksik
Reviewed by Peter Biellp

Spoiler alert: acclaimed writer Stefan Zweig and his wife Lotte kill themselves at the end of Lauren Seksik’s 2010 novel, The Last Days.

It’s hard to avoid spoiling this mystery. Zweig’s suicide actually happened, in Brazil in 1942, and since then. . .

Read More >

Selected Stories
Selected Stories by Kjell Askildsen
Reviewed by P. T. Smith

To call Kjell Askildsen’s style sparse or terse would be to understate just how far he pushes his prose. Almost nothing is explained, elaborated on. In simple sentences, events occur, words are exchanged, narrators have brief thoughts. As often as. . .

Read More >

Letter from an Unknown Woman and Other Stories
Letter from an Unknown Woman and Other Stories by Stefan Zweig
Reviewed by Christopher Iacono

After a mysterious woman confesses to an author simply known as “R” that she has loved him since she was a teenager, she offers the following explanation: “There is nothing on earth like the love of a child that passes. . .

Read More >

Colorless Tsukuru and His Years of Pilgrimage
Colorless Tsukuru and His Years of Pilgrimage by Haruki Murakami
Reviewed by Will Eells

Floating around the internet amid the hoopla of a new Haruki Murakami release, you may have come across a certain Murakami Bingo courtesy of Grant Snider. It is exactly what it sounds like, and it’s funny because it’s true,. . .

Read More >

The Matiushin Case
The Matiushin Case by Oleg Pavlov
Reviewed by Brandy Harrison

The publisher’s blurb for Oleg Pavlov’s The Matiushin Case promises the prospective reader “a Crime and Punishment for today,” the sort of comparison that is almost always guaranteed to do a disservice to both the legendary dead and the ambitious. . .

Read More >

Fear: A Novel of World War I
Fear: A Novel of World War I by Gabriel Chevallier
Reviewed by Paul Doyle

One hundred years have passed since the start of World War I and it is difficult to believe that there are still novels, considered classics in their own countries, that have never been published in English. Perhaps it was the. . .

Read More >

Little Grey Lies
Little Grey Lies by Hédi Kaddour
Reviewed by P. T. Smith

In the London of Hédi Kaddour’s Little Grey Lies, translated by Teresa Lavender Fagan, peace has settled, but the tensions, fears, and anger of the Great War remain, even if tucked away behind stories and lies. Directly ahead, as those. . .

Read More >

Autobiography of a Corpse
Autobiography of a Corpse by Sigizmund Krzhizhanovsky
Reviewed by Simon Collinson

One of the greatest services—or disservices, depending on your viewpoint—Bertrand Russell ever performed for popular philosophy was humanizing its biggest thinkers in his History. No longer were they Platonic ideals, the clean-shaven exemplars of the kind of homely truisms that. . .

Read More >

The next few events from our Translation Events Calendar: See More Events >