Comment by twoslide

I agree with what you've said - one thing that is sometimes overlooked is that publishers pay academic societies for the right to use the journal. I am on an editorial board for a small-ish society: we make about $5000 per year in member dues (they are low) and about $120,000 per year in publisher royalties. We use this to fund grant programs, scholarships, conferences, etc, so it is not all bad, but yes the publisher is probably making much more.