I had considered posting this story as well, but someone beat me to the punch. Curse my late time zone!
To provide some history, when King started this he declared that he would continue to post stories to the serial only if 75% or more of the readers sent in payments. Some people sent in extra money just to help make sure the experiment succeeded. It worked so well that King announced the second chapter sooner than anyone expected.
According to the information I read on ABCNews.com, the first chapter logged a total of 150,000 readers. The latest chapter has attracted only 40,000. Furthermore, while the first chapter generated over $100k (over 75% of the readers sending in payments), the latest chapter has generated less than $20k (less than 50% of the readers sending in payments). That, friends and neighbors, is a significant drop in readership and income. But the article in ABCNews.com reports that King wasn't aware of the numbers when he made his decision, he was informed after he decided to focus on more mainstream projects. Whether or not this is true is up to speculation; I'm not inclined to believe it, but anything is possible.
Those numbers tell a tale that ought to have King shivering under his covers. Although his book sales tend to hit the Top Seller charts very quickly, people have been complaining for years that the quality of his writing has dropped sharply. Like Anne Rice, he's gotten too famous for anyone to edit him. He doesn't have to put up with it, so he doesn't. And his work suffers for it. In other words, The Plant isn't dying because the Grand Experiment is failing, but because his writing is failing to keep his readership interested. What he's asking is "would you pay a dollar to read this?" As the chapters progress, the answer is increasingly becoming "no. This isn't worth a dollar."
I was amused to note that when I voted in the poll for this article, 100% of the votes went to "didn't read it, didn't pay for it." I'm also one who didn't read it or pay for it, because I haven't read a book by King that really gripped me since It. Whatever point people decided that King wasn't worth reading anymore, they apparently agree. So to have King spearhead Internet Book Sales is a sad thing for would-be-professional writers like myself. I'd love to have people read my work online and send me a check because they liked it. But if King's failure is any indication, that's a dream that won't happen in my lifetime.
"Humor. It is a difficult concept. It is not logical." -Saavik, ST: Wrath of Khan