So, Amanda Hocking proved prophetic and landed her own $2 million advance with a major publishing house.
The funny bit? Everyone is asking her, "Why?" Her publishing house is hoping this proves traditional publishing is not dead. I think those two things demonstrate the tenuous position traditional publishing finds itself in nowadays.
Of course, with a $2 million advance in pocket, Amanda Hocking is not Joe Blow Random Author. She is a star. Between the money and the PR, you can bet your ass her publishing house will bust their ass for her. And if they don't, or things somehow don't work out? Uh, gee, I think she'll be fine--she can go back to making $1 million a year self-publishing, or at this point, she could invest her $3 million, retire, and live off the income (as long as she doesn't invest it in Barnes & Noble).
So, Amanda Hocking is doing great, which is wonderful--she seems like a very pleasant and grounded young lady, and I confess to being tickled pink by her success. Self-publishing now has its own Tinkerbell, assuming you don't think making $1 million a year writing books is amazing enough (which certain people clearly don't).
But I'll say it again: This isn't what's important about contemporary self-publishing. I am more excited about it's potential effect on the mass of writers--not the occasional best-seller, but the many more people who chug away in relative obscurity. Those people can pay their bills on time now. That's really exciting.