The romance novel, "The Jewel of Medina," by journalist Sherry Jones was due to be published on August 12 by Random House, a unit of publishing conglomerate Bertelsmann AG.
The 432-page novel traces the life of A'isha from her engagement to Mohammed, when she was six, until the prophet's death. Te book also portrays how the child bride of the prophet Muhammad overcame the obstacles to reach her full potential as a woman and a leader.
Author of the Novel Jones said that she was shocked to learn in May that publication would be postponed indefinitely. "I have deliberately and consciously written respectfully about Islam and Mohammed ... I envisioned that my book would be a bridge-builder," said Jones.
Random House, though, had reportedly paid Jones a £50,000 advance for two books, but in May, it abruptly informed the author that all plans were now off as it could incite acts of violence.
Thomas Parry, the deputy publisher at Random House, has issued a statement saying the company received "cautionary advice not only that the publication of this book might be offensive to some in the Muslim community, but also that it could incite acts of violence by a small, radical segment".
"In this instance we decided, after much deliberation, to postpone publication for the safety of the author, employees of Random House, booksellers and anyone else who would be involved in distribution and sale of the novel," he added.
Before taking its decision, the publisher had sent a copy of the novel to Denise Spellberg, associate professor of Islamic history at the University of Texas, for a pre-publication blurb. Random House also had paid a $100,000 advance to the professor.
But, professor Spellberg strongly rejected the work, described it as "soft core pornography".
"Denise says it is 'a declaration of war ... explosive stuff ... a national security issue'," the Wall Street Journal quoted an email from a Random House editor. "Think it will be far more controversial than The Satanic Verses and the Danish cartoons."
However, Jones rejects the charges. "It's ridiculous," the Guardian quoted her as sayiong.
Meanwhile, Jones, who had a two-book deal with Random House, was released from her contract to shop the book elsewhere. As her contract and eight-city tour to promote the book with Punlishing giant Random House had been cancelled, Jones said she was confident of finding a new publisher.