KDP Select? Amazon Lending? I don't know...

I just received an email from Amazon detailing the KDP Select which is the lending program that has been in the works. Here are some highlights of what the email said:

When you make any of your titles exclusive to the Kindle Store for at least 90 days, those with US rights will automatically be included in the Kindle Owners' Lending Library and can earn a share of a monthly fund.  The monthly fund for December 2011 is $500,000 and will total at least $6 million in 2012.  If you haven't checked it out already, the Kindle Owners' Lending Library is a collection of books that eligible US Amazon Prime members can borrow for free once a month with no due dates.

Your share of the monthly fund is based on your enrolled titles' share of the total number of borrows across all participating KDP titles in the Kindle Owners' Lending Library.  For example, if total borrows of all participating KDP titles are 100,000 in December and your book was borrowed 1,500 times, you will earn $7,500 in additional royalties from KDP Select in December.  Enrolled titles will remain available for sale to any customer in the Kindle Store and you will continue to earn your regular royalties on those sales.

Now, I am all for lending and borrowing of books. It's part of my librarian background. I mean, I make all my stuff DRM free for a reason. But I have a problem with this. First, the exclusivity of the deal. Second, the share seems very little. At least for indie authors. 100,000 titles being shared in one month seems low considering how many of us authors are eager to share work and make money. Then we have to compete with how many times our books is borrowed vs those of the bigger guys or more well known! Seems ridiculous.

It's just that don't feel this will offer me anything. It removes my titles from other stores for at least 90 days. That's just to be in it! And the shares is just weird. Splitting 500,000$/m with several hundred thousand authors seems rough to me. I may be completely wrong on this. No one has ever said my business sense was keen. But I don't think this is for me. Though, I will be watching this with a keen eye.

What your thoughts? Any writers out there going to give this a try? Dip a toe or dive on in?