Amazon strikes $30m deal with NYC public schools

Amazon strikes $30m deal with NYC public schools

Amazon has signed a $30m contract with the New York City public schools to provide e-books to students.

The deal means that Amazon will be the primary distributor of e-textbooks and other electronic educational resources in what is the US's largest schools district, catering for over one million students. Amazon hardware, such as Kindles, are not part of the agreement. 

Commission for each e-book purchase to Amazon is said to be between 10 and 15%.

According to Publishers Weekly, Amazon could make $34.5m or more on the three-year contract, which also has the option of a two-year extension. The school system has estimated it will generate $4.3m in e-book buys in the first year of the agreement - effective as of the the forthcoming school year - ramping up to $17.2m by its third year.

The news outlet credited the deal as Amazon's "most significant foray" into the education market "to date", especially in the high school market. 

Amazon has been more active in the college market, where it has established co-branded online storefronts, for example working with Purdue University in Indiana to launch the Purdue Student Store with staffed pick-up points on campus.

The deal was originally agreed last summer, according to American news site abc, but had been delayed out of concern materials would not be suitably accessible to blind and visually impaired students. The issue was resolved in March.