Friday, April 4, 2008

Hyperion publisher goes to HarperCollins


By HILLEL ITALIE, AP National Writer


NEW YORK - In an ever-uncertain market for publishers, HarperCollins is looking to resolve two of the industry's major concerns: High author advances and the high rate of returned books.

The longtime and energetic founder-president of Hyperion, Robert S. Miller, has left to join HarperCollins, where he will head a new imprint specializing in short, "popular-priced" books, nonreturnable shipments to stores and lowered money to authors up front in exchange for increased profit sharing.

"Our goal will be to effectively publish books that might not otherwise emerge in an increasingly 'big book' environment, an environment in which established authors are under enormous pressure to top their previous successes, while new authors are finding it harder and harder to be published at all," Miller said in a statement issued Thursday by HarperCollins, part of Rupert Murdoch's News Corp. and already the distributor of Hyperion.

Hyperion, owned by the Walt Disney Company, announced Thursday that, effective immediately, Miller would be replaced by Ellen Archer, currently Hyperion's senior vice president and publisher.

"Bob and I worked beautifully together," Archer told The Associated Press, "and we had practically a decade (nine years) of this wonderful working relationship. I think it's an exciting time in publishing and I believe that he and I, because we're very similar, see a world of great opportunity."

"I'm very, very happy that Ellen is taking over," Miller told the AP, adding that even he is surprised to be switching jobs. "She is already so immersed in the company and has so many ideas of her own."

During Miller's 17 years at Hyperion, he published a wide range of best sellers, from Mitch Albom's "For One More Day" to David Halberstam's "The Coldest Winter." A passionate advocate for both Hyperion and the industry overall, he currently chairs the trade publishers executive committee of the Association of American Publishers.

"Bob is an idea-a-minute man," Jane Friedman, president and CEO of HarperCollins Publishers Worldwide, told the AP. Miller and Friedman are old friends and both say that the idea for Miller's move came after the two met for a drink, on Feb. 29, and discussed — as publishers often do — what's wrong with the business.

"I was talking about all these ideas and how it would be great to try and do some things differently and she said, `Why don't we?'" Miller recalls. "She wasn't just going to sit around and talk."

Miller's imprint, currently unnamed, will release about 25 books a year "in multiple physical and digital formats ... with the aim to combine the best practices of trade publishing while taking full advantage of the internet for sales, marketing and distribution," according to HarperCollins.

Miller, who will begin at HarperCollins on April 14, says the books will be short, citing such compact Hyperion releases as Steve Martin's "Shopgirl," and that they will cost around $20. He hopes to attract both new authors and established authors looking to write something less commercial.

At least two planned features break from traditional practices, aggravated the increasing reliance on blockbuster hits for profits: The imprint will pay lower advances, or none at all, but divide profits equally (instead of 15 percent of the retail price or lower for the author); releases will be sent to stores on a nonreturnable basis.

"I;m going to talk to booksellers and try to find a way to break out of this bind booksellers and publishers are in, with this incredibly high return rate (around 40 percent)," Miller says, who acknowledged that he had not figured out he would convince booksellers to shift the risk of unsold books from the publishers to themselves.

"We'll let you know when we know. The point is to announce it and talk to people. It's an experiment."

Paul Aiken, executive director of the Authors Guild, which represents more than 8,000 published authors, said "the devil was in the details" about Miller's proposed changes. He wonders how HarperCollins will calculate costs in deciding how much profit there it to share. And he worries that nonreturnable books will make stores less likely to take a chance on new or obscure writers.

"It puts greater pressure on the stores simply to look at the sales record," he says.

Oren Teicher, chief operating officer of the American Booksellers Association, which represents the country's independent stores, said owners would likely want bigger discounts in exchange for books not being returned. But Teicher said he would be willing to hear any ideas that might spare "the colossal waste of books being shipped back and forth."

At Hyperion, Archer says she is also looking to make major changes, including a digital deal that would be a "a paradigm shift for how a book is published."


"It's definitely going to be a very interesting experiment," she said, declining to give details. "Anyone who isn't thinking like this, trying to change the way we published, is going to be out of business."

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    Lil Jon gets into winemaking


    By NEKESA MUMBI MOODY, AP Music Writer


    LOS ANGELES (AP) — It turns out Lil Jon drinks more than crunk juice — the larger-than-life producer and rapper has started his own wine label, offering selections including chardonnay and merlot.

    "It kind of came out of nowhere," Lil Jon told The Associated Press of his new venture, Little Jonathan Winery. "We were just going to do some private label stuff (for parties) and we did it, and people was like, `Hey, it's pretty nice.'"

    Lil Jon acknowledges that he's no wine connoisseur. "I'm not no `drink wine every day' kind of dude," he said in a telephone interview. "I'm not like an expert, so don't ask me no questions ... I just like the taste."

    And he knows what he likes, including white wines and dessert wines (winemaker Alison Crowe is responsible for the label, made in California).

    Little Jonathan Winery is not Lil Jon's first venture into the drink market: He launched Crunk!!! Energy Drink a few years back: The concoction took its name from the rap style he made famous. But he is treating his venture into winemaking with a more serious approach, which is why he decided against using his stage name for the label.

    "My full name is Jonathan," the Atlanta-based artist said. "The wine is more nature: I wanted to not just have a direct connection, but make it just a little bit more upscale than regular 'Lil Jon.' ... This is not no ghetto Boone's Farm; this is some real wine."

    Lil Jon has more time on his hands these days for winemaking and other ventures: While he continues to produce hits, he hasn't released an album since 2004's best-selling "Crunk Juice" with the Eastside Boyz. It may be a little while longer before fans hear new music, since his label, TVT Records, recently went bankrupt.

    Lil Jon said he has an album ready to go — he's just waiting for the TVT situation to resolve itself.

    "I want to get it out asap, but TVT has to figure out their business, and that's about all I can say," he said with a laugh.

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      News Corp Internet division to reorganize


      By Kenneth Li


      NEW YORK (Reuters) -
      News Corp's Fox Interactive Media
      Internet division could fall short of its fiscal 2008 revenue
      target of $1 billion, as it reorganizes its divisions to better
      exploit the online advertising market.

      The News Corp division that oversees the world's largest
      social network MySpace said in a statement it plans to
      officially launch its long-awaited online advertising network.

      The FIM Audience Network will consolidate its newly
      developed advertising technologies such as its
      "hyper-targeting" tools that tailors advertisements to Web
      surfer's interest.

      "I am confident that we are moving in the right direction
      to secure our long-term success, and I am certain that we have
      the right leadership team in place to take us there," FIM Chief
      Peter Levinsohn said in a memo to employees obtained by
      Reuters.

      Regarding its revenue targets, Fox Interactive Media said
      in a statement, "We expect to be close to our target."

      The memo partially confirms a report on technology blog
      TechCrunch, which reported late on Thursday that the division
      would miss its annual revenue target of about $1 billion and
      likely come in at around $900 million.

      Fox Interactive Media said Adam Bain, executive vice
      president of production and technology at FIM, will be named
      president of FIM Audience Network.

      The restructuring will also see the departure of Chief
      Revenue Officer Michael Barrett, a former Time Warner Inc
      executive, the company said.

      The ability to efficiently sell advertising on social
      networks was questioned after Google Inc, a close partner of
      MySpace, expressed early doubts about its ability to "monetize"
      social network advertising in a conference call following the
      release of its first quarter financial report.

      But MySpace's new hyper-targeting technologies is designed
      to address those short-comings of the relatively new market.

      The timing of the rollout of the new technology could be
      partially to blame for the potential shortfall, one company
      source said.

      Levinsohn also told employees that the unit's sales
      department would also be decentralized to improve
      accountability.

      "By integrating the sales teams in this way, each operating
      unit will be empowered to assume responsibility for its
      revenue, growth and profitability," Levinsohn told employees in
      the memo.

      (Editing by Anshuman Daga)

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