David Naggar, VP of Kindle content and independent publishing, sent a letter to a few Hachette authors, literary agents and Authors Guild president Roxana Robinson over the weekend suggesting that “for as long as this dispute lasts, Hachette authors would get 100% of the sales price of every Hachette ebook we sell. Both Amazon and Hachette would forego all revenue and profit from the sale of every ebook until an agreement is reached.” The idea, seemingly, is that that loss of ebook revenue would “motivate both Hachette and Amazon to work faster to resolve the situation.”
Here’s an example: if we sell a book at $9.99, the author would get the full $9.99, many multiples of what they would normally get. We can begin implementing this arrangement in 72 hours if Hachette agrees.
This probably isn't going to happen; Hazard Owen writes that Amazon presumably hasn't even approached Hachette with this offer. It's an attempt to make Amazon look like the pro-author side, and Hachette look like the money-grubbers, but I'm not sure how many authors will be swayed by an immediate payday at their publisher's expense. This looks to me like another attempt by Amazon to price their enemies out of the market, to pass on a short-term profit in hopes of grabbing an even bigger chunk of the market.