Thomas Hawk's Digital Connection: The Photography of Sam Bloomberg-Rissman
"trying to figure out a way to build a system where you could turn a photo sharing site into a secondary vehicle for advanced amateurs to offer their work up for sale at much fairer prices than the microstock sites are paying out today."
Good luck to them. I hope they make it work. Currently I'm not even an advanced amateur, but I still think that there HAS to be a market that can be made for solid, interesting photography that isn't from NAME BRAND photographers and pays more than the crap that the microstock sites do. It's gonna happen, but it needs genius level work to get there. Work that puts the artists first. Even the iTunes model wont work, that isnt really good for the artists and legitimizes the whole intermediary pipeline between artist and buyer.
Personally, I'd rather give away my work via a creative commons license (non commercial any way!) then to sell my soul to these microstock sites. Well, actually I do do that! All of my stuff is publise CC requiring attribution and share alike and no commercial use.
Hell, I'd be happy if there was a system to help up and comers sell enough of their work to finance better gear without hiring a lawyer to figure out the details... =)