This kind of reaction is going to get worse before the chaos settles. We live in interesting publishing times, and no one's experience has prepared them for this. Coupled with the developments in epublishing is the economy crisis, the rise (yes, the rise) of universal literacy, and the new markets such as China and India coming to the party. There's a lot to digest, and waves of uncertainty among publishers adds to the mix - a mix that makes retailers-cum-publishers Amazon a winner on all counts. It will all level out in the end, but I can't predict on what level, or how. 
Authors have to contend with all this, AND the inundation of neo-'authors' providing competition of dubious value. The over-supply of reading material and the presence of more authors than readers on the market will eventually dwindle, according to the laws of market forces and survival of the readable.