Daily Archives November 6, 2012

Guest Blog: Publishers, Weakly: What The Penguin/Random House Merger Really Means, by Michael Levin

Publishers, Weakly: What The Penguin/Random House Merger Really Means
By: Michael Levin

When I saw the word “synergies” applied to the proposed merger of publishing giants Penguin and Random House, I laughed out loud. “Synergies” is Wall Street-speak for “Let’s merge two failing companies, fire half the employees, run the resulting business more cheaply, suck out all the money we can as quickly as we can, and then leave the wounded, gasping beast that is the resulting company to die a miserable, public death.”

Which is exactly why “synergies” best describes the merger of two of the biggest names in the publishing industry, which is wringing its hands over the immediate consequences of this deal, which really represents one more death rattle of the once thriving book publishin...

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