Author, Diane Duane, has decided to finish a trilogy as a reader-supported web-book, after her publishers decided the market wasn't big enough to publish the book. Cory says:
"She'll publish the ten chapters or "The Big Meow" one chapter at a time, releasing a new chapter every time her donations pot crosses her minimum-to-publish threshold. At the end of the experiment, the supporters will get bound copies of the book from lulu.com. Diane's vowed to finish the book in time for the World Science Fiction Convention in LA this August 23.
The first two volumes of the Feline Wizards trilogy drew a sizable audience, but not enough to convince Diane's publisher to pay her to write book three. Over the years, an anxious audience has demanded a conclusion to the series, so back in December, Diane posted an open question to her blog: would her readers support her if she finished the trilogy without a publisher?
The answer's been a resounding yes -- one reader's even gone so far as to offer a $1,000 matching grant to Diane toward the completion of the book. "
Good luck to her. It will be interesting to see if it works.