Amazon KDP Terms & Conditions: What Every Author Must Know Before Publishing
The second article in our series on becoming an author - exploring self-publishing platforms
Amazon's Kindle Direct Publishing platform has revolutionised the publishing world, offering authors unprecedented access to global markets and readers. However, behind the promise of creative freedom and financial success lies a complex web of terms and conditions that every author must understand before hitting that "publish" button.
At The Emerald Agency, we believe in empowering authors with knowledge. Your creative work deserves protection, and understanding your rights—and responsibilities—is crucial for making informed decisions about your publishing journey. Let's demystify Amazon KDP's terms and conditions, exploring what you really need to know about content ownership, pricing control, distribution rights, and the fine print that could impact your author career.
The Fundamental Question: Who Owns Your Work?
The Good News: You Retain Copyright
One of the most persistent myths in self-publishing is that Amazon somehow "owns" your book when you publish through KDP. The reality is far more reassuring: you retain full ownership and copyright of your book when publishing through KDP. Amazon does not claim ownership of your book, but they do require certain rights to distribute and sell it on their platform.
Think of it as renting shelf space in the world's largest bookstore. You own the product, but you're giving the store permission to sell it for you. You retain the rights to your book through Amazon's non-exclusive agreement, which means you can publish elsewhere simultaneously (with some important exceptions we'll explore).
The Reality Check: Proving Your Rights
However, ownership and proving ownership are two different matters. Amazon requires that you hold the publishing rights to any content you upload for sale, and they may request additional documentation to confirm this. This becomes particularly relevant if:
Your content appears elsewhere online
You've previously published with another publisher
There are changes to your metadata that suggest ownership changes
Someone reports potential copyright infringement
AI Content Disclosure: The New Reality
In our evolving AI landscape, transparency is key. Amazon now requires you to inform them of AI-generated content (text, images, or translations) when publishing new books or republishing existing ones. This isn't about restricting AI use—it's about honest disclosure. As we've discussed in our previous articles, AI can be a powerful tool when used responsibly and ethically.
Pricing Control: Your Book, Your Price (With Conditions)
eBook Pricing: The Two-Tier System
Amazon offers authors two distinct royalty structures for eBooks, each with its own pricing requirements and benefits:
The 70% Royalty Option: This premium option requires pricing between $2.99-$9.99 and comes with regional restrictions. However, Amazon charges a delivery fee of $0.15 per megabyte for this option, which can eat into profits for larger files.
The 35% Royalty Option: This offers complete pricing flexibility from $0.99 to $200 without restrictions and no delivery fees. While the percentage is lower, the freedom can be valuable for certain pricing strategies.
Print Books: The 2025 Game Changer
Here's where recent changes have significantly impacted author earnings. From June 10, 2025, the royalty rate for books priced below $9.99 USD dropped from 60% to 50%. This affects both paperbacks and hardcovers across all marketplaces.
For many indie authors who relied on competitive pricing under $10, this represents a substantial income reduction. Books priced $9.99 or higher continue to receive the 60% royalty, creating a clear incentive to price above this threshold.
Your Pricing Control
Despite these structures, you can choose your list price at your discretion, but it must be within KDP's range of minimum and maximum list prices. However, there's a catch: if you choose the 70% royalty option for eBooks, you must set your list price at least 20% below the physical edition price.
Amazon may also match prices with competitors, which can affect your royalties—but this happens regardless of your preference.
Distribution Rights: Freedom vs. Exclusivity
The Default: Non-Exclusive Freedom
By default, publishing rights granted to Amazon are non-exclusive, meaning you can also publish your book elsewhere. This freedom allows you to build a diversified distribution strategy, reducing dependence on any single platform.
The KDP Select Trade-off
However, Amazon offers enhanced promotional opportunities through KDP Select, which comes with a significant catch. If you enroll in KDP Select, you commit to make the digital format available exclusively through KDP for 90-day periods.
This exclusivity is comprehensive: during the exclusivity period, you cannot distribute your book digitally anywhere else, including on your website or blogs. However, you can continue to distribute physical formats elsewhere.
The decision between wide distribution and KDP Select exclusivity is one of the most critical choices authors face, affecting both income potential and marketing strategies.
Payment Terms: When and How You Get Paid
Understanding Amazon's payment structure is crucial for cash flow planning. Amazon pays royalties approximately 60 days after the end of the month that your royalties were earned. This means a book sold in January won't generate payment until late March or early April.
Additionally, your payment amount must meet a minimum threshold before payout, which varies by country and payment method. Multiple payment options are available, including direct deposit, wire transfer, and checks.
Content Guidelines: What You Can and Cannot Publish
Amazon maintains strict content guidelines that authors must navigate carefully. The platform doesn't sell content that includes hate speech, promotes abuse or sexual exploitation of children, contains pornography, glorifies rape or pedophilia, advocates terrorism, or other material deemed inappropriate.
Importantly, you cannot use copyrighted content freely available on the web unless you're the copyright owner. This includes text, images, and other materials that might seem "free" online but are actually protected by copyright.
Account Requirements and Eligibility
Before you can start your publishing journey, you must meet Amazon's basic requirements. You must be at least 18 years old (or the age of majority where you reside) and able to form a legally binding contract. You must also maintain an active KDP account to receive royalties.
Understanding Termination: What Happens When Things End
It's important to understand what happens if your relationship with Amazon ends, either by your choice or theirs. Following termination, Amazon may continue to fulfill pending customer orders and maintain digital copies to provide continuing access to customers who purchased before termination.
Crucially, all rights to digital books acquired by customers survive termination. This means readers who bought your book can continue to access it even if you're no longer publishing through KDP.
The Strategic Implications: Making Informed Decisions
Understanding these terms isn't just about legal compliance—it's about making strategic decisions that align with your goals as an author and business owner.
Pricing Strategy Considerations
The 2025 royalty changes force authors to reconsider their pricing strategies. Do you raise prices to maintain the 60% royalty rate, potentially reducing sales volume? Or do you accept the lower 50% rate to keep prices competitive? The answer depends on your market, audience, and business goals.
Distribution Strategy
The choice between wide distribution and KDP Select exclusivity affects not just income but also your relationship with readers and your ability to build an email list and direct sales channels.
Rights Management
Understanding your rights—and how to protect them—becomes increasingly important as your publishing career grows. Proper documentation, clear ownership records, and understanding of copyright law are essential.
The AI Consideration: Transparency and Ethics
As AI becomes more prevalent in content creation, Amazon's disclosure requirements reflect a broader industry shift toward transparency. This aligns with our philosophy at The Emerald Agency: AI should enhance human creativity, not replace it, and transparency about its use builds trust with readers.
Whether you use AI for research, editing assistance, cover design, or content creation, honest disclosure protects both you and your readers while contributing to ethical standards in the publishing industry.
Comparing Amazon KDP to Your Own Publishing House
When we consider these terms alongside the benefits of establishing your own publishing house (as discussed in our previous article), several key differences emerge:
Control: Your own publishing house offers complete control over pricing, distribution, and terms. Amazon KDP provides access to a massive market but within their framework.
Investment: KDP requires minimal upfront investment but takes a percentage of every sale. Your own publishing house requires more initial setup but offers higher per-unit profits.
Reach: Amazon provides unparalleled global reach. Your own publishing house requires you to build distribution relationships.
Risk: KDP spreads risk across their platform. Your own publishing house concentrates risk but also keeps all rewards.
Looking Forward: The Future of Author-Platform Relationships
The publishing landscape continues to evolve, with platforms regularly updating terms and conditions. Amazon's 2025 royalty changes remind us that relying entirely on any single platform carries inherent risks.
Successful authors increasingly view platforms like Amazon KDP as part of a broader strategy rather than the complete solution. Whether you choose to establish your own publishing house, work with multiple platforms, or focus primarily on Amazon KDP, understanding the terms is crucial for making informed decisions.
Your Publishing Journey: Knowledge as Power
At The Emerald Agency, we believe that knowledge empowers authors to make decisions that align with their values and goals. Understanding Amazon KDP's terms and conditions isn't about discouraging you from using the platform—it's about ensuring you enter into the relationship with full awareness of what you're agreeing to.
Your creative work has value. Your time has value. Your rights have value. Understanding the terms that govern how your work is distributed and sold helps you protect that value while building a sustainable author career.
Whether you're writing for pleasure or building a business, whether you're sharing personal experiences or professional expertise, these terms affect how your work reaches readers and how you're compensated for your creativity.
The key is not to let legal complexity intimidate you, but to understand it well enough to make confident, informed decisions about your publishing future.
Ready to navigate the publishing world with confidence? At The Emerald Agency, we're here to help you understand your options, protect your rights, and make informed decisions about your publishing journey. Because your story deserves to be shared on your terms.
