BookSurge is Amazon’s print-on-demand subsidiary. According to a story in Publishers Weekly, Amazon will not sell books printed with other POD services in the same way they sell other books. An excerpt from the story:
“I feel like the flea between two giant elephants,” said the head of one pod publisher about the upcoming battle between Lightning Source and BookSurge/Amazon. He said although the deal with BookSurge will be more expensive, he has no choice but to make the move since most of his authors expect their titles to be for sale on Amazon.
UPDATE: Amazon defends its policy.