Previously, the proprietary Sony LRX format was one of the FEW DRM formats that had NOT been cracked!

Thanks Sony!

As we learned from digital music, the DRM scheme that runs on the most devices doesn’t necessarily win in the end. Adobe’s DRM might very well turn out to be the PlaysForSure of the eBook world. Widely licensed, but only contributing to a small fraction of total media sales.

Amazon will retain its huge lead in ebooks until someone matches the Kindle’s ease of use and media acquisition.

From a marketing stance, looking from a higher level than just ebooks, consumers don’t like it when things they are used to do are taken away (a natural human behavior). When I was in the media DRM space (yes, admittedly part of my past…I even have a patent) I used to use the example that if you can’t let people who own say a movie go watch that movie at a friends house or let that friend borrow the movie then it DRM will never work. Media needs portability. So specific to your question, and interestingly something similar to a concept I had explored while at macrovision, If you gave a consumer whom purchased the ebook (or movies, etc.) the ability to allow friends to borrow it or outright transfer ownership then I do believe consumers would be open to this.

Think of a website that allowed me to check out digital content I purchased to others or even to my other devices. My friends could borrow my movie, book, etc. but I would still retain ownership (and can even be in control of getting my movie back too by revoking the rights :-). I can also transfer ownership, either free for for money as you described. Conceptially you can think of each person being their own library – sometimes they let friends check out their content and sometimes they sell (like used books).

But the issue I think has never been about if the consumers would adopt such a model, it’s the major pubs and media companies unwillingness to try such new approaches. I guess they’re fearful of losing control? I don’t know. This is my concept of a clearinghouse and I think would be the best solution for both consumers and media companies. Media companies get some form of DRM protection and consumers get portability and would be less likely to pirate.

That would help alleviate the valid concern of authors and publishers that, with out some form of DRM, there would be no way to stop endless free copying & distributing of copy-righted ebooks; and at the same time, it would seem to allow ebook consumers enough flexibility to do what people do with print books (and a little more). Do you think most eBook consumers would find this to be reasonable approach?

Thanks.