1Digital Media Distribution Channels ©OverDrive, Inc. 2005

DRM Challenges in Digital Media Distribution Channels

Steve Potashsteve@overdrive.comMay 18, 2005

2Digital Media Distribution Channels ©OverDrive, Inc. 2005

A Framework for the Epublishing Ecology September 25, 2000

3Digital Media Distribution Channels ©OverDrive, Inc. 2005

4Digital Media Distribution Channels ©OverDrive, Inc. 2005

5Digital Media Distribution Channels ©OverDrive, Inc. 2005

6Digital Media Distribution Channels ©OverDrive, Inc. 2005

7Digital Media Distribution Channels ©OverDrive, Inc. 2005

8Digital Media Distribution Channels ©OverDrive, Inc. 2005

OverDrive Operates a Global Digital Content Clearinghouse

Content Reserve – B2B Digital Warehouse

100,000 Digital Media TitleseBooks, eDocs, digital audio

books, music, video400 publishers & suppliers34 countries, 32 languages, 19

currenciesDigital Library Reserve

1,000 librariesPrivate Reserve

Custom Fulfillment for Publishers, Education, Corporate

SolutionsCustom fulfillment, hosting, Library

lending, retail, eCommerce, DRM

publishers

access management server

retailers education

Content Reserve®

Adobe PDF, Microsoft formatsMobipocket

Windows Media Audio/Video

Digital Rights Management

creatorcreator

libraries

Content Reserve is the largest commercial Digital Book

repository.

9eBook Retail & Distribution Channels ©OverDrive, Inc. 2004

WH Smith (UK)

Retail website for purchase of

Rights Protected

Digital Media

10eBook Retail & Distribution Channels ©OverDrive, Inc. 2004

11Digital Media Distribution Channels ©OverDrive, Inc. 2005

Content Rights are “Layered” by Stakeholders

1.Creator-Author-Agent (Publisher)Grant distribution and resale rights to Distributor

General copyright protection policies (no-redistribution)

Business Model approval - licenses

Territorial rights, discounts, bundles, granularity

Accessibility, regulatory initiatives, archive/escrow

2.Aggregator-Distributor-Clearinghouse (OverDrive)Apply DRM to all content for B2B channel partners

DRM technologies impose rules, features, limits

Hybrid materials (audio-video-digital print)

Preview Rights, Archive, Cover Images & Marketing Data

12Digital Media Distribution Channels ©OverDrive, Inc. 2005

Content Rights are “Layered” by Stakeholders

3.Channel Partners (Retailer, Library, Corporation, School, Publisher Direct)

Return Policies, lending policies (length of loan)

Concurrent access, super-user accounts, consortia

Promotional units, author access, preview rights

DRM challenged exceptions (high security)

4.End User Issues: Format & Software Rights •Varies by media type (eBook, audio, video)

•Software format DRM variances (Also by Version #)

•Print, Copy-paste, Read-Aloud, Early Return, Burn to CD, Back-up license

13Digital Media Distribution Channels ©OverDrive, Inc. 2005

DRM Challenges for Clearinghouse

Multiple Business Models from Single Digital Object

Software Format Inconsistencies

Emerging Channels, Devices, Access Models

Patent Infringement and IP Threats

Maintaining Value of Content while Balancing Protections

14Digital Media Distribution Channels ©OverDrive, Inc. 2005

Challenges/Opportunities for Rights Expression Standards

Large consumer markets will drive applications

Key platform vendors need to be engaged

IP issues create barriers for partnering on standards

Accessibility issues – regulations may drive standards