The Kindle Unlimited Dilemma: Is Exclusivity Worth the Risk?

When Amazon launched Kindle Unlimited (KU) in July 2014, it fundamentally changed the landscape of independent publishing. Often described as “Netflix for books,” the service promised readers unlimited access to a massive library for a flat monthly fee.

For authors, however, it introduced a controversial stipulation: Exclusivity.

While subscription models are consumer-friendly, KU created a dilemma for indie authors. To access Amazon’s voracious subscription readers, you must trade your freedom and sign a contract of digital exclusivity. This requirement has created a “caste system” in publishing, forcing independent authors to choose between wide distribution and the marketing power of the world’s largest retailer.

The Cost of Admission: KDP Select Exclusivity

To participate in Kindle Unlimited, independent authors must enroll their books in KDP Select. This program demands 100% digital exclusivity to Amazon for 90-day renewable terms.

This means you cannot sell your eBook on:

Apple Books
Barnes & Noble (Nook)
Kobo
Google Play
Your own website

If Amazon finds your book available digitally anywhere else, they can remove your book from the store and even suspend your account.

The Double Standard

The most frustrating aspect for many authors is the disparity between indie authors and traditional publishers.

Indie Authors: Must be exclusive to participate in KU.
Traditional Publishers: Can participate in KU without exclusivity.

Big publishing houses have negotiated terms that allow their titles to be in Kindle Unlimited while still being sold on Apple, Kobo, and other platforms. This creates a two-tier system where independent authors are effectively treated as second-class citizens, restricted by rules that their corporate competitors do not have to follow.

The Payment Problem: The “Global Fund”

Unlike a standard sale, where you earn a fixed royalty (typically 70% of the list price), Kindle Unlimited payments are variable and uncertain.

Earnings are calculated based on the “KDP Select Global Fund.” You are paid per page read (KENP), not per book borrowed. The exact payout rate is not announced until after the month is over.

Shrinking-Page Payouts

In recent years, the per-page payout has hovered between $0.004 and $0.005.

A 300-page novel might earn roughly $1.20 to $1.50 for a full read.
In December 2024, payouts dropped to a low of ~$0.0032 per page, creating panic among authors who rely on this income.

The Everand Difference

Contrast this with competitors like Everand (formerly Scribd). These platforms typically operate on an “agency model,” paying authors a fixed percentage of the list price (often around 60%) once a reader consumes a certain percentage of the book.

On Everand, a book is valued as a product; on Kindle Unlimited, it is treated as a commodity in a pool.

The Strategic Risks: Why “Going Wide” Matters

Relying entirely on Amazon carries significant strategic risk. As the saying goes, “Exclusivity is great for Amazon, but it’s not necessarily great for authors.”

By removing your books from other retailers, you effectively help Amazon destroy its competition. If Barnes & Noble or Kobo fewer reasons for readers to visit, their market share shrinks, giving Amazon even more leverage over your career.

The Investment Analogy

Think of your publishing career like a retirement portfolio. Putting all your books into KDP Select is like investing 100% of your savings in a single stock.

If Amazon changes its algorithm, bans your account by mistake, or lowers the page-read payout (as they have done before), your entire income can vanish overnight. Building an audience on Apple, Kobo, and Google Play diversifies your income streams and protects your long-term stability.

The Counter-Argument: Why Do Authors Do It?

despite the risks, thousands of authors choose KDP Select. Why?

Visibility: The “Kindle Unlimited” tag attracts readers who read voraciously but are price-sensitive.
Marketing Tools: KDP Select offers “Free Days” and “Kindle Countdown Deals,” which are powerful tools for launching a book and spiking the Amazon algorithm.
Income Velocity: For new authors, KU eliminates the friction of a purchase price. It is easier to get a reader to borrow a book for “free” than to buy it for $4.99.

The “Hybrid” Strategy

Some savvy authors use a middle ground. They might keep a first-in-series book perma-free on all platforms (wide) to hook readers. Meanwhile, they place subsequent books in KU for limited 90-day stints to maximize borrowed reads before moving them wide later.

Conclusion: Independence vs. Dependence

The choice between KDP Select and “going wide” is ultimately a choice between short-term marketing power and long-term independence.

Exclusivity buys you access to Amazon’s massive pool of subscribers, but strict rules and variable pay come at a cost to your freedom. The philosophy long championed by platforms like Smashwords remains relevant: Diversification is the safest long-term strategy.

Authors should strive to be available wherever readers are, rather than locking their work behind a single retailer’s wall.