These posts are from a Yahoo Newgroup.
Go to the Self-Publish group for a complete postings.
This is the essence of responses to get a flavor of what's being said on the Internet:

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I have been communicating with my LSI reps and they have assured me
that a message would be forthcoming. It just arrived (4/1/08 4:12 p.m.).

Here is the complete text:

April 1, 2008
Dear Customer,

Lightning Source has been following the recent press coverage and
discussions about Amazon.com
and BookSurge. We are aware of the concern this is causing the
publishing community. The issue centers around Amazon.com tying the
availability of your books and terms of sale at Amazon.com to the
production of books at the Amazon.com subsidiary BookSurge,
specifically requiring you to use BookSurge in order to sell on
Amazon.

Like you, we are very concerned about any conduct that would serve to
limit a publishers choice in supply chain partners and to negatively
impact the cost of your products to consumers. We believe that
choice and selection of best of class services are critical to the
long term success of publishers and a vibrant book market.
Lightning Source continues to provide the highest quality digital on
demand print and distribution services for every one of our
customers. All your titles continue to be available to all of our
channel partners, including Amazon.com, with immediate availability
for shipment within 24 hours.

We are committed to providing you with the best of class quality
product and fastest distribution service in the market, and will
continually work to develop new channels and new offerings.
Lightning Source will continue to monitor this situation and let you
know when we have more information.
Please feel free to call your Lightning Source point of contact, if
you have any additional questions.

J. Kirby Best
President & CEO
Lightning Source Inc.

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Reply to this above web post:

Different Treatment of Publishers

There is no other supplier on Amazon that is required to produce their goods at an Amazon company or pay that company to produce the goods.

Amazon sells computers, electronics, toys, apparel, for example, and offers Free shipping, as they are "shipped from Amazon," and does not require the merchandise be manufactured by an Amazon company at an Amazon premises.

It would be an unfair trade practice to single out Publishers as a group from any other supplier or manufacturer of goods who sells direct from Amazon.

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With CreateSpace, the set up fee is only $50 per title (assuming Pro
Plan otherwise it is free) and only $5 annual fee to maintain
membership in the ProPlan (free if not in ProPlan) All Amazon sales
would be through CreateSpace.

Can't help with the time/expense of converting files to meet their
specs--sorry! But, that should be a one-time occurrence (hopefully).

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There would be considerable unmaintainable expense to 1) convert
formats, 2) setup charges in two places, 3) keep maintenance fees
annually in two or more places, 4) have contention when book set ups
are made about who is actually selling the book to amazon, b&n, other
online stores, ingram and where the income is accounted from.

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The pricing you mention is common with subsidy published books,
depending on the markup and royalty levels you select (if you have
any choices). To give the standard trade discount for an Amazon
listing, Lulu commonly adds an extra amount to the book price to
cover the markup to Amazon. The result is that many subsidy published
books are overpriced -- and don't sell very well -- on Amazon.

I note that you're published with the UK version of Lulu and your
book is priced at 22.50 pounds sterling on the UK Amazon, which is
about US$44.50 -- so there may be another factor in play.

Amazon picks up listings from the Ingram data base. So, if Author
House set the book up for print with Lightning Source, Inc., then it
would be entered into the Ingram data base very quickly. Even if you
don't do any of the marketing services with the subsidy publisher, if
you choose to distribute the book "to the trade" then they will print
it with LSI -- and LSI will put it in the Ingram data base. No
collusion between Amazon and the subsidy publisher at all ... indeed,
no direct contact, either.

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Hi,
I buy quite a few reference books from amazon, and I have
noticed several of them were through Lulu. A case in point. "The
Don McLean Story: Killiing Me Softly With His Song" (published in
Feb 2008) is $29.95 on Lulu and $50.00 new on amazon.

There's something strange with amazon. When my book "Cracking the
Glass Darklly" was published by AuthorHouse, which is another POD,
in late December, I was waiting for the first copy off the presses,
when someone pointed out it was already on Amazon, and I hadn't
even seen it. I didn't go for any of the marketing services AH
offered, so I'm wondering what is the inside track the amazon has
with these publishers.

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Publishing discussions and answersI disagree with someone's statement that "Civil Liberties and Rights under the Bill of Rights only apply to government."

Civil Liberties apply to fair trade in Interstate Commerce. Companies are obligated under the law to practice fair trade.

AT&T could not establish to discriminate, for example, that it would only provide Long Distance service to Registered Voters in the State of Kansas IF they called long distance from the Kansas City Telephone office, because it would save ATT money by callers using the phone at the KS office. There are two things here. ATT could not single out a group to deny service to. ATT could not provide a condition of full or equal service based on a cost-saving measure that denied equal rights.

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More to come I'm sure... Check out other listings across the Internet for more information.