The textbook industry remains dominated by a few powerful publishers. Five giants—Pearson, Cengage, McGraw‑Hill, Wiley, and Macmillan—control approximately 80–90% of the U.S. college textbook market (Public Knowledge). Pearson alone captures around 40% of the market, with Cengage and McGraw‑Hill each holding about 20–24% (SPARC).
Attempts at further consolidation, such as the proposed 2019 merger between Cengage and McGraw‑Hill, threatened to create a near-duopoly by combining approximately 45% market share (SPARC). This level of market control significantly reduces competition and innovation in educational resources, limiting choices for professors and students alike.
Despite high textbook prices, professors typically earn modest royalties, averaging around 3% of the retail price. This results in an average annual royalty of roughly $800 per textbook, a minimal return considering the considerable effort required to produce these materials (Reddit Academia).
“The royalties on textbook sales are marginal at best… it’s not a particularly compelling financial incentive.” (Professor on Reddit College)
Traditional textbook prices soared approximately 88% from 2006 to 2016, significantly outpacing general inflation (Vogue). Students currently spend around $650 annually on textbooks, burdened by publisher tactics like frequent edition updates and bundled digital access codes that restrict used-book options (Ethics Sage).
In response, innovative platforms like Semestr are emerging as promising alternatives. Semestr offers educators a streamlined way to author, publish, and directly distribute customized course materials and textbooks. Unlike traditional publishing, platforms like Semestr enable professors to retain greater intellectual and financial control, while students gain affordable access to relevant and regularly updated content.
Furthermore, the growing popularity of Open Educational Resources (OER), which can save students up to 80% compared to conventional textbooks, highlights the potential of platforms like Semestr to disrupt the monopolistic textbook industry (GAO).
Ultimately, traditional textbook publishing is no longer meeting the evolving needs of students and educators. Platforms like Semestr present a timely solution by prioritizing transparency, affordability, and the direct empowerment of authors, paving the way for meaningful reform in educational resource distribution.