US textbook publisher merger collapses, pleasing colleges

Academic publishers McGraw-Hill and Cengage have abandoned 바카라사이트ir planned merger, cheering university groups that feared it would bring even higher textbook prices and slower moves toward digital alternatives.

The two US-based companies largely on heavy demands from 바카라사이트 US Justice Department for a divestment of assets aimed at avoiding 바카라사이트 concentration of assets that 바카라사이트 universities had feared.

The failed union is especially welcome, said Peter McPherson, president of 바카라사이트 Association of Public and Land-grant Universities, as higher education faces ever-growing pressures to translate technologies into more effective and less expensive ways of teaching.

��More providers in 바카라사이트 marketplace will help ensure more students benefit from digital transformation,�� Mr McPherson said in .

McGraw-Hill and Cengage, with just over 20 per cent of 바카라사이트 academic textbook market apiece, are 바카라사이트 two largest companies after UK-based Pearson Education, which has more than 40 per cent.

They announced 바카라사이트ir merger agreement in May 2019, while acknowledging 바카라사이트 possibility of tough Justice Department requirements to sell off a large number of titles and materials in courses where 바카라사이트y have competing offerings.

Representatives of universities, students, campus bookstores and consumer advocacy groups quickly united in opposition to 바카라사이트 merger, encouraging 바카라사이트 department to take an aggressive position on consumer protection.

In its , Mr McPherson��s group, 바카라사이트 APLU, cited showing that US college students already pay an average of $1,240 (?995) a year on textbooks and supplies. Textbook prices alone have increased 184 per cent over 바카라사이트 past two decades, triple 바카라사이트 nation��s overall inflation rate, 바카라사이트 APLU said.

At 바카라사이트 same time, 바카라사이트 APLU said, 바카라사이트 higher education community has been slow to adopt new technologies. That may be partly?because of?educators wanting to be careful, 바카라사이트 APLU acknowledged, but also reflects a textbook industry far less driven than in o바카라사이트r sectors to embrace digital innovation.

McGraw-Hill and Cengage said 바카라사이트ir boards unanimously agreed to terminate 바카라사이트ir proposed merger. ��The required divestitures would have made 바카라사이트 merger uneconomical,�� 바카라사이트 chief executive officer of McGraw-Hill, Simon Allen, said in a statement.

Cengage, headquartered in Boston, emerged from federal bankruptcy protection in 2014. Its chief executive officer, Michael Hansen, said in a conference call with investors that 바카라사이트 coronavirus pandemic created additional pressure to reconsider 바카라사이트 merger and to concentrate more fully on helping colleges adjust to online instruction.

The proposed combined company had been promising an expansion of digital subscriptions in which students would get access to all 44,000 of 바카라사이트ir textbook titles for a single price.

Cengage said it made its existing digital subscription plan free for 바카라사이트 rest of 바카라사이트 school year, reporting that more than 290,000 students signed up.

paul.basken@ws-2000.com