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Some books are skipping hardcover and going straight to trade paperback. Story at USA Today.
Trade paperback originals have been a solid part of publishing for a long time. Lots of genre fiction comes out in trade paper.
As far as I can tell, most library publishing (ALA Editions, etc.) consists of trade paper with no cloth equivalent--of my 12 books (excluding the recent PoD ones), only the first three or four had cloth editions; none of the ALA Editions ones did.
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