TeleRead: Bring the E-Books Home
 Advocating Well-Stocked National Digital Libraries in the United States and Elsewhere

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TeleRead calls for well-stocked national digital libraries in the United States and elsewhere. TeleRead's moderator is David Rothman (dr@teleread.org). For occasional highlights from this blog, join the TeleRead Mailing List.


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Saturday, March 06, 2004:
Hard Shell Word Factory: OverDrive behind on payments

Is OverDrive's Content Reserve distribution unit slowing down payments to e-book publishers to free up money for expansion in areas such as library services? Or just to be greedy? Or because-- I don't know the reasons. I'd just caution the librarians to be careful, lest they eventually suffer the same treatment from OverDrive that the publishers are. Isn't it possible that OverDrive could dramatically jack up charges to the librarians once it dominates that market?

Whatever is going on, a just-received message from Mary Z. Wolf at the Hard Shell Word Factory makes it clear that OverDrive boss Steve Potash has even more explaining to do than I thought about his cashflow situation.

Here's what Mary wrote me with permission to quote her. And yes, Steve, as noted earlier, she also isn't thrilled by 55 percent discounts--or the storage fee.

I was planning to write you about the Content Reserve situation after I saw your late January posting about Overdrive dropping conversion services (which we didn't use anyway) but got busy as usual and didn't get around to it. This week's events are unconscionable, and I am glad Salvo Press brought this to your attention.

Hard Shell Word Factory was also with Content Reserve from near the beginning. They got off to such a slow start sales-wise that I didn't complain about them not paying per contract (monthly) for the first few months. But then a year went by with no payment. Then another quarter, and another. After numerous emails, phone messages left on voice mail because I couldn't get accounting on the phone, in March 2003, I was promised full payments due, and that they were at going to be paying quarterly from then on. In April 2003, I received payment for 1-1/4 years of sales. However, I haven't received a cent since then. I've sent emails, snail mail, voice mail messages, actual voice calls, and even emailed Steve Potash about the non-payments with absolutely no response. Early last week I finally got accounts payable on the line, and the best promise I could get was payment "by March 15th for sure" of only 2 of the 4 quarters owed us. (Less than half of $3000 they owe to date)  After reminding them again that my contract says I get paid monthly, I was also told there are new terms announcements being made soon that would clear this all up.

What a laugh! The new terms (if we were stupid enough to pay them, which we are not!) would cost Hard Shell Word Factory $1,125 a quarter(!) on top of already paying 55% distribution discount on the approx. 400 titles we have.

IMO, 55% discount was already outrageous (and I feel the same way about paying Lightning Source that large a discount too!). One of my staff and I myself spent many hours inputting the necessary metadata into their system and uploading the ebook files and covers. This is something that should have been able to be done much more efficiently and less expensively with spreadsheets and FTP uploads.

These are not only not the acts of someone small publisher friendly, I personally feel this is an attempt to get us out of their program, since they have to know very few of us will not, nor can we afford to, pay these outrageous sums for the "privilege" of waiting years for our money.

I, for one, have had my fill of the "few high and mighty" trying to control the epublishing industry and putting up any barriers they can to keep out "the little guys."

You can quote me on any of this.
Thanks, Mary! Sorry about the pain you've suffered at OverDrive's hands. Totally in character, you've done the e-book industry a service by speaking up.


An e-book distribution cooperative: How to set it up

How to set up a nonprofit e-book distribution cooperative, as an alternative to Content Reserve-style gouges?

Well, perhaps the cooperative could bring together (1) various components of the e-book industry and (2) the Internet Archive, which is keen on digitizing as much as possible. No need to digitize, in fact. The material would be born digital!

The glory of this approach is that publishers would never again have to worry about backing up their lists for posterity. At the same time an agreement could be made with the Archive not to release works into the public domain until certain procedures were followed.

Meanwhile the Archive could line up librarians to organize the material efficiently. A win-win for all! E-books would suddenly become more permanent and searchable (with publishers deciding the scope of the search and otherwise exercising their rights on material not yet in the public domain).


Hard Shell Word Factory knocks bits-and-pixels gouge

Mary Z. Wolf, the publisher at the Hard Shell Word Factory, well-regarded in the e-book industry, posted the following to Jon Noring's list:

...For Hard Shell Word Factory this fee would be $1,125 per quarter(!) We will not pay it. The 55 percent distributor discount is already more than we should have to pay for a service of this type, and I'm including Lightning Source in that too...

I'm all for [a nonprofit e-book distribution arrangement]. Sign me up! Seriously, though, how would we go about doing something like this?


Novelist finds Content Reserve lags as sales builder

Posted on the eBook Community list by Ed Howdershelt of Abintra Press, which publishes his science fiction and "semifiction":

As of this message, recorded sales through Content Reserve over the last 3 years have been a grand total of $767.28. Since it has cost me nothing more than the time involved in uploading titles and covers, I've said nothing about their sales performance.

Abintra Press also placed its titles for sale with Fictionwise on October 20, 2003. Total Fictionwise sales recorded as of November 30, 2003 were $942.12. Fictionwise sold of more of my ebooks in just 40 days than Content Reserve has sold in 3 years. Fictionwise charges me no fees above their standard sales commission.

Content Reserve will likewise charge me no fees above commission, because if they insist on such fees, I'll pull my titles off their racks and cash out. It is my view that a reseller should be able to survive or thrive on profits, and that an inability to do so reflects a faulty business model and/or faulty management, so I am very much against paying product "storage" fees to distributors.


Uproar grows over Content Reserve's bits-and-pixels fees--while distribution nonprofit gains support

"$300 per year?" asks writer Mary Ezzell on the eBook Community List, commenting on the storage fees that OverDrive/Content Reserve wants to slap on one-book publishers. "I'll certainly drop out if it's over $50 per account, one time." Big houses would pay fees, too, albeit not quite as outrageous.

Intrigued by Jon Noring's proposal for a nonprofit distribution cooperative, she says, "Good idea. How can we help, other than everyone plugging it in our Websites, sigs, etc?"

From GLB Publishers, W. L. (Bill) Warner adds his own twist--a "central no-storage approach, because there could easily be a counter indicator activated whenever the central distributor accessed a file from the publisher's stock to download. At the end of the month the two accounts should tally." Further thoughts on the gouge and his favorite remedy:

This is more of the same stuff again, the middle man taking the gravy to leave the crumbs (somewhat mixed metaphor there) for the publisher and author. Our idea for distribution of e-books has always been a low-cost centralized system where the e-books are maintained at the publisher's site and the download ordered at the distributor is actually performed by linking to the publisher's site. Without storage fees the distributor is only a link for transfer and money collection, and should be able to operate on 10-15% of list, collected from the buyer."
From Michael Ward of Hidden Knowledge:
I'm not sure why Content Reserve--which has always been wonderful to work with--is doing this at this stage. Perhaps they overextended in reaching for the library market? Perhaps e-book sales have grown more slowly than they expected, and this has impacted their long-term business model? Or perhaps they simply have too many small publishers (like us) and need to reduce the number of business entities they deal with.

In any case, we already do a distributor discount of 55%, and adding a yearly maintenance fee of hundreds or thousands of dollars on top of that seems unreasonable. I don't mind the 55%; CR provides a number of valuable services, and in any case they only keep 15% (say) and forward the remainder of the discount (nominally 40%) to the retail outlets.

I wrote to Pam Turner when the new terms arrived in e-mail, but haven't received any reply in return. Probably she is snowed under with complaints. I know that she reads her e-mail; I've written to her in the past and have always received fast and courteous replies.

The short answer is that many of our titles sell fewer than twenty copies a year. It's not cost-effective for us to maintain them in our distribution inventory at CR and we may go to direct retail through Fictionwise, as we already do with Palm.

Personally, I think the library sales through CR are the wave of the future for e-books, and I'll be sorry to lose that. In current figures, however, our sales through Fictionwise (at the moment through a distribution agreement with CR) and Palm (direct) aggregate several times our sales through all other CR retailers combined. We really don't have the option to stay with CR, if these rates hold.

Someone from CR may want to comment on the situation.
Exactly! I'm eager to publish whatever CEO Steve Potash at OverDrive/Content Reserve has to say, and meanwhile I'll alert him to keep watching the TeleRead Blog for other reaction.

My thoughts on the use of publishers' sites for storage: I'd actually prefer the centralized server since it could be optimized for reliable downloading and include mirrors on different continents. People want the buying of e-books to be as smooth as possible. A centralized approach could also faciliate Amazon-style searching to the extent authorized by publishers. Still, Bill Warner's heart is in the right place. We need an OverDrive alternative. Libraries as well as publishers and stores could participate. In fact, librarians might be especially useful for preserving permanent archives and organizing data.


Seattle publisher criticizes storage gouge by OverDrive's Content Reserve

Just received from publisher John Landahl at InfoStrategist.com in Seattle:

I was happy to see your article Friday on the new Content Reserve archival storage fees for publishers.  Like Scott Schmidt, I am a small, independent publisher of low-priced ebooks with just enough titles distributed through Content Reserve to push me up to their $250 quarterly rate.

I have nothing against Content Reserve and I realize that changes will occur periodically within the industry, but, as you point out, Content Reserve already mandates a hefty distributor's discount, and these new fees require raise several concerns in my mind. [At the very least, CR describes a 50 percent discount as "customary." - DR.]

First, although they are called archival storage fees, I estimate that they are about 10 times higher than the going rate for online archival storage and there is no indication that publishers will be provided a mechanism to retrieve files uploaded to the Content Reserve site--a key feature of archival storage and one that was provided by the
Nuvomedia/Gemstar's RocketServer.  If the fees bear no relation to the actual cost of archival storage, there is no reason to think that they will not be increased, and perhaps dramatically and with equally short notice, in the future.

Second, if the new fees reflect cash flow problems at Content Reserve and imposing them causes a flight of publishers from Content Reserve, that exacerbates their financial problems, possibly causing them to cease operations within a few months (remember Gemstar shutting down?).

If that happens, any fees I have paid them will have been wasted.

If you will indulge me for a moment, I will suggest that while Content Reserve's new fees may not kill the geese that are laying the golden eggs, they could very well cause them to migrate elsewhere.  If that is not Content Reserve's intent, they should make it very clear to publishers why it is in their interests to stick with a premium distributor instead of cutting their costs by changing distributors.


Bits-and-pixels gouge draws fire--and a proposal for an e-book-distribution cooperative

Jon Noring, moderator of the 2,039-member eBook Community list and a small publisher himself, says many publishers may flee Overdrive. He himself might join the exodus--in the wake of the distributor-retailer's questionable charges for storage of books. In fact, Jon says it may be time for stores and publishers to band together in a nonprofit e-book-distribution cooperative that could be spun off from OverDrive.

Meanwhile, answering my request for comments from publishers, Jon says OverDrive was late in some payments to him--just as it was to Scott Schmidt of Salvo Press--in violation of a contract. Anyone else having' problems? Or got other thoughts on the gouge? Email me.

Here, shortened, is Jon's post to the list:

This fee will especially hit hard the smaller ebook publisher and self-published author. The self-published author with one title will pay over 50 times what a large publisher with 2500 titles will pay per title. Fortunately, Lightning Source (which supplies Amazon) does not have such a storage fee, nor do independent retail outlets such as eBookAd.

David is asking for feedback from ebook publishers who use the Content Reserve system [CR is an OverDrive branch], including about whether they have been paid on time per the contract, which is an issue I experienced (and have documented well) along with Scott Schmidt, owner of Salvo Press, who alerted David Rothman to the publisher fees as well as the fact he wasn't paid for over a year when his contract stipulated monthly.

Some commentary on the Content Reserve Publisher Fee

Should Content Reserve go ahead with charging the publisher storage fees, it would not surprise me to see an exodus of a significant number of smaller publishers from the Content Reserve system (I'm considering withdrawing myself.) Were I a Content Reserve retailer, I would ask some very serious questions of Content Reserve as to the wisdom of this move. The Content Reserve retailers have paid big $$$ to join the system, and maybe not an insignificant number of titles will no longer be available for sale--it can only reduce ebook sales, hurting retailers.

Additionally, the promise of ebooks is that smaller publishers and self-published authors will flourish, thereby re-energizing the entire book publishing industry in general, which will benefit everyone, including the large established publishers (who, for example, will find gems published by the "indies" and license to republish them for the more traditional "blockbuster" paper book market which still dominates today's book publishing.) This planned storage fee will put a huge damper on this great promise of the future.

Contrary to what Content Reserve states in their cover letter, I do not believe they have done the more obvious things to cut costs such as going to a fully automated, electronic deposit system to pay publishers for sales. (For example, I'm still surprised to receive the publisher payment by paper check in a hand-addressed envelope along with a paper copy of the statement! This process can be fully automated by emailing the statement, or a link on how to obtain it, and electronically depositing the funds into my publishing company's checking account!)

As I think about it, there should be little incremental cost to handle one more publisher and one more ebook once the system is in place--their arguments do not sway me in the slightest. I can only assume that either: 1) they are in severe fiscal crisis and need a quick infusion of cash (and then they should admit it--I'd probably keep my two ebooks *in* Content Reserve if paying the $300/year fee will help them get through the crisis--I still believe in their system) or 2) simply getting greedy.

(To be constructive, as an alternative to the publisher fee, I would support a very small one-time fee for each new ebook edition introduced into the system, like $15 or so--that should cover whatever human interaction is necessary to evaluate the book for integrity, minimum quality and appropriateness--it should take no more than 10-15 minutes per ebook file to do this human evaluation, and would make an excellent job for smart college students, better and more interesting than flipping burgers at Mac and Don's for $8.00 an hour.)

Hopefully OverDrive will do the right thing and rescind this publisher fee. If not, I'm afraid for the long-term integrity of the Content Reserve system upon which many publishers and authors, large and small, and retailers as well, have come to rely on so heavily.

Maybe it is time for the ebook industry, retailers and publishers, to seriously begin discussion on setting up a non-profit cooperative organization to do what Content Reserve is now doing (to be the "back end" to supply the retail network for the publishers), and to enlist the open source movement to aid in writing the various applications to make this work. Content Reserve, for example, could be spun off into such a separate non-profit cooperative. Is there any reason why publishers and retailers need to rely on a for-profit company they have little control over to do this otherwise semi-automated, behind-the-scenes task?
Yo, Steve Potash, OverDrive CEO. Looking forward to your side. Why should people deal with you if there are better, cheaper ways of distributing e-books, either through a cooperative or by taking their business elsewhere?


Friday, March 05, 2004:
OverDrive socks tiny e-publishers with steep storage fees--even though e-books are just bits and pixels

OverDriveScott Schmidt, owner of Salvo Press, a small publisher of paper and electronic books in Bend, Oregon, was with OverDrive almost from the start. The Cleveland-based e-distributor had begged him to sign up several years ago.

Identical scenarios unfolded with scads of other tiny houses doing e-books. Steve Potash, President-CEO of OverDrive and currently president of the Open eBook Forum, the most influential e-book trade group with powerful sponsors such as Microsoft and Adobe, promised to be the little guys' friend.

Salvo PressThen OverDrive reached the point where it was dealing with Random House and other big boys, among its 705 publishers, not to mention 103 client libraries. Today Scott wonders if OverDrive, now a retailer as well as distributor, really wants his less-than-conglomerate-sized business.

You see, OverDrive's Content Reserve arm has just sent Scott and other smallfry some pricey new terms for "Secure Data Storage" including "archiving, metadata, covers, excerpts, etc."

Now Scott, who publishes well-regarded mysteries, thrillers and spy novels, plans to shift all his business to such OverDrive alternatives as ebooks.com, eBookAd and Lightning Source. Overdrive wanted to charge him $250 per quarter for storage--$1,000 a year, which doesn't seem like much but which is disaster when he's selling $7 e-books with thin margins.

Scott normally publishes just 4-8 books a year and has a backlist of 27 titles. "It's like Ingram expecting me to pay their warehouse costs until the books ship," Scott says, "and here we're just talking about bits and pixels."

$300 per year for single-title houses

The new OverDrive quarterly schedule for hosting books on its servers is: 1-10 books, $75; 11-25, $125; 26-50, $250; 51-100, $375; 101 to 250, $625; 251-500, $1,125; 501-1,000, $1,875; and 1,001-2,500, $3,375. Notice? A single-title publisher or self-published author would pay at least $300 annually for dealing with just one distributor on the sole title, never mind other costs. But the storage cost of a 2,500-e-book-per-year giant would apparently be all of $1.35 per book per quarter, or $5.40 for the year. That's less than two percent per title of the costs of the small guys. And what about the charges to publishers with more than 2,500 e-book titles? Whether or not big publishers are at the 2,500 level--Random House shows up with at least 1,500 titles at Fictionwise--should they get such breaks compared to the Scott Schmidts?

Hey, OverDrive, haven't storage costs come down, and isn't this the era of computerized accounts--meaning that small publishers should benefit? Are paperwork expenses that high, especially since Scott says he has hardly any human interaction with you? Has Bartleby, the Scrivener moved in from New York to keep records for you? OverDrive holds itself out as "the leading digital content solution provider for publishers, retailers and librarians." Is this the best the e-book industry can do on the automation front? No wonder global revenue is a mere $10-$20 million a year. Or is this just a plain, unadorned gouge? Perhaps Steve Potash needs to rethink the increase before other small guys join Scott in an exodus from OverDrive.

One wonders, too, how Random House and Simon & Schuster may feel, beyond less than ectasy at the thoughts of shelling out thousands more a year. They'll enjoy a great bottom-line bargain from Steve in sheer dollars alone compared to Scott Schmidt. In goodwill currency within the e-book industry, however, they'll pile up massive debt if they brook this discrimination against the Salvo Presses. And, of course, they may join Scott in wondering what the devil is going on at OverDrive. Is OverDrive squeezing publishers, forcing them to act as bankers, especially the small houses, to address the e-distributor's possible cashflow problems? Old contracts called for payments to publishers in 30 days, while the new contracts stretched it out to 90 days. Why the change? Isn't this harmful not just to publishers but also authors?

Revenue vs. Profits

Recently Steve Potash told me: "Revenues are growing and we are doing fine." But how about the profits? Maybe they exist and are phenomenal, and OverDrive is thriving. But so far, I've received no answer from Steve to the profit question after several days. Without saying that OverDrive is going out of business--I have no indication of that!--I would urge him to come forward with the full story. Plus an explanation of the new storage cost increase. Without a storage fee, Scott was paying nothing but a percentage of sales.

"I can't believe they're doing this," Scott says of the storage fee. His letter to us--reproduced with permission--follows:

Your readers might like to know how Overdrive, the major DRM merchant and distributor for eBooks by most publishers, now wants to add huge hosting fees for the pleasure of holding our eBooks on their systems. I have attached a fee list I got yesterday from Content Reserve, the hosting arm of Overdrive.

These outrageous fees will surely drive the small press out of the eBook business. With more than 26 titles hosted there, Salvo Press would be required to give them $250 per Quarter. I could buy my own server for that price. Hmm.

Most disturbing is that the small press was first to sign up with Overdrive. Salvo Press was one of the first companies to have them host our titles. At the time, they were practically begging us to sign up. Now that they have established themselves with larger publishers, I guess we don't matter.
Scott would welcome other publishers, large and small, contacting him at info@salvopress.com. You can also cc me at dr@teleread.org and indicate if I can use your comments in the TeleBlog.

Detail: Scott says it has taken as long as a year to be paid through OverDrive. "I had to actually call their accountant and everyone else to get their payment. I have 15 or 16 authors and I couldn't get paid until I could pay them." Anyone else with payment delays? E-mail me and let me know if I can use your name. The question arises of whether large publishers are being paid ahead of small ones.

A few other questions for Steve Potash: As an e-book distributor, can you really be adding enough value to justify a discount of 50 percent on your publishers' titles? You do say that publishers will "establish terms for a wholesale discount," but then you mention that it's "customarily 50 percent or greater." Hoping that small publishers will give you that much of a break? Some publishers would argue that even by some p-book standards, you're asking for a trifle too much. Whether that's true or not, just how could you justify the fee when you needn't build warehouses to house bits and pixels--just order cheap hard drives? Even with Web site expenses included and other odds and ends, the customary 50 percent would seem on the high side. How much are your publishers actually discounting for you on the average, and how common is the "50 percent or greater"? Is it really "customary" among your publishers? One of the goals of e-books, of course, was to eliminate the middlemen-oriented practices of the p-book biz. Even if only small publishers are paying the 50 percent fee, I don't see that much progress. No one in e-books should pay that much. Are DRM and whatnot really that expensive? Perhaps instead of worrying so much about piracy by readers, publishers should worry more about charges of software companies and e-distributors. Could we finally understand now why too many e-books cost as much as p-books?

The library angle: Obvious. Like publishers, like authors, like ordinary book buyers, they may not always enjoy the very best deals over the long run if distriubutors charge too much. Let's see what Steve says. Maybe right now he's smart enough to keep library prices under control while he's building up his business in that area.

About Salvo Press: Founded in 1998, it won a special citation from The International eBook Award Foundation (IeBAF) by creating--in the judges' words--"a remarkably strong E-book publishing program and a list of consistently fine quality books." Scott is a full-time publisher with titles picked by mass-market paper houses such as Berkeley, which next year will publish Superior Position, an ex-Army officer's novel about a sniper in a small Colorado town. He even made the now-defunct e-book best-seller list at Barnes and Noble. Not exactly the kind of operation we'd like see OverDrive squeeze.

Update, March 23: Please note that OverDrive is passing on the overwhelming amount of the discount to retailers, but I wonder what profits it may be making off DRM directly or via ties to or special treatment by DRM vendors who at the same time control the major e-book formats. If nothing else, with all the hassles of Draconian DRM, technical complications, not just direct costs, are the retailers doing as well as they should? Furthermore, I still maintain that publishers and authors should be allowed to keep far more. A distributor without problem-plagued DRM in use should be able to work with a discount of far less than 50 percent. In the optimal scenario, with an efficient distributor well-informed about the nuts and bolts of electronic commerce, I can envision the publisher and author keeping perhaps 70 percent. That might well be possible without excessive DRM costs and with a system more automated than OverDrive's--in other words, one able to handle the needs of retailers and publishers of a variety of sizes. What's more, consider all the lost sales that Draconian DRM is costing the industry since books are social creatures and sell better when friends can share them with each other. I'm not suggesting that books be Napterized, but, beyond making DRM less problematic technically, it should be better reconciled with the doctrine of fair use.

Related: See the OverDrive fuss: Server costs, fancy promo parties, other issues and OverDrive exec unwittingly shows DRM's threat to diversity of content--and the need for a Universal Consumer Format and an anti-trust investigation. Also read OverDrive's gouge of publishers: A link-based overview.


PalmOne CEO: Nothing to prevent us from doing nonPDM OSes--including Linux

PenguinEven if Palm Digital Media doesn't do Linux, an important PDM partner might take the L word more seriously--palmOne, the hardware company that spun off PDM as a separate outfit, which PalmGear bought. Microsoft and Symbian operating systems are also possibilities for palmOne hardware. The lowdown from PDAStreet.com:

At a conference call to analysts this week, palmOne President and CEO Todd Bradley responded to a question as to whether the company would create a version of the Treo 600 based on Windows Mobile. He said, "One of the drivers to the separation was so that each company could optimize their products for their specific customers. That being said, we haven't announced any Microsoft-based products but there's nothing that would preclude us from building one, Microsoft, Symbian, Linux, anything."

While the thought of palmOne implementing another operating system in some manner may come as a shock, it is not completely surprising after its separation from PalmSource. As a hardware only vendor now, palmOne is free to pursue any avenue, including alternative operating systems, that would make its products more appealing, and therefore helping the bottom line, which in turn would make shareholders happy.
Oh, the sacrileges that may unfold! Imagine Microsoft eventually even doing a version of Microsoft Reader for SmartPhone OS--and getting palmOne to include it. If OSes aren't sacrosanct, apps sure aren't. Time perhaps for PDM to stop trying to be the Microsoft of e-books, before the All-Purpose Microsoft eats it for lunch in PDM's own backyard? Granted, Bradley seemed to be saying, "Hey, we'll give people what they need," as opposed to "We're immediately and definitely ditching PDM stuff completely." But the door is open now. Time for a little less megalomania at PDM--and less emphasis on a proprietary approach in regard to e-book formats at the consumer level?

Already an uppity message has sprouted up within the Palm InfoCenter, complete with links to Will Killer Penguins turn Palm Digital Media into road kill? and Evil Genius kicks DRMed e-book habit within the TeleBlog. Why there's even a link to Evil Dave Slusher himself. The headline over the message in the InfoCenter: "I want my Linuxed palmOne!"


School laptops winning converts: TeleRead as the next step?

Nice roundup in Techdirt on laptops in the schools. Key observations:

The big fear, that students would mistreat, forget or lose their computers has proven to be untrue [in Michigan] (as was the case in Maine). One other interesting aspect of the Michigan study is they found that it actually seems to make the kids more excited about learning, to the point where disciplinary action has decreased. It certainly sounds like these programs are a step in the right direction, but more emphasis needs to be placed on better training for the teachers.
While laptops are fine, the best approach would be light-weight tablets--with foldable, detachable keyboards--that students could carry around in backpacks.

E-books are easier to read on tablets than on laptops. Writing is more pleasant, too. Kids can vary the distance between the screen and the keyboard--no small consideration since schools should be as easy as possible on young eyes and backs.

Better than back-killing paper textbooks

Still, the laptops are progress and far better than burdening the kids with heavy p-books, the worst back-killers.

Also of interest from a TeleRead perspective is the following from Mike Wendland's Detroit Free Press column cited in the roundup:

"Some teachers told the MSU researchers they weren't adequately trained how to use the computers themselves before having to train students. Others said the project needs better educational software and a clearer vision of how computers should be integrated into the curriculum."

TeleRead territory! We need a national program to spread around the right content--e-books and software and the rest--and get teachers and librarians up to speed.

Powerful duo

E-books and blogs, where students could write book reports and essays and learn how to work with peers online, could be a powerful duo.

The right blog links could benefit the kids in other ways, too, such as by allowing subjects to complement each other more easily. English (where students can learn plenty about ordinary people from the fiction of the past) could help enliven history (where the emphasis is often on grand events).

Of course, even blogs shouldn't replace old-fashioned classroom discussion as a way to help digest online goodies.

Related, in terms of blogging--which could work with books as well as news clips: Morning at RSS-Blog-Furl High School, as well as comments by Jenny Levine of The Shfited Librarian.


Canadian case strengthens balanced copyright law up North

Awesome--the things that can happen in Canada without Hollywood running the government up there. (Spotted via J.D. Lasica.)


If your e-book buyers are criminals, you'll love these DRM tips

Haven't most e-book buyers done time in the penetentiary? Must be so, judging from Ebook Security: How To Protect Your PDF Ebook. Among the brilliant ideas there: requiring your readers to type in their passwords every 30 days. Methinks this guy is a secret agent for International Paper, trying to kill off our still-puny industry.


Thursday, March 04, 2004:
Just in case Palm Digital Media thinks it can be Microsoft

"The unfortunate thing about eBooks is that, like recordable DVDs, there are multiple competing standards. And as with recordable DVDs, these competing formats mean you have to decide which standard to adopt. Fortunately the number of competing eBook standards is limited to just two big names: Adobe and Microsoft. Both of their formats have their own pluses and minuses." - Edmond Woychowsky at Builder.com.

The TeleRead take: Ugh, Palm Digital Media and Mobipocket might have a few things to say about the above, but for better or worse, neither name shows up in the article despite PDM's bragging about its format's current popularity.

I'm sure the PDM folks would say, "Well, maybe the writer was lazy and didn't want to look further." So--what else is new? Microsoft may not be taking e-books seriously now, given the pathetic $10-$20-million-a-year market, but wait until it does--and the ad and PR budgets expand to position Microsoft as the only choice. Even Adobe may be trampled by a Bill & friends with a $40B or so in stray change rattling around.

The one hope for PDM and Mobipocket and the others would be to encourage the Open eBook Forum to live up to its name and give us a Universal Consumer Format that would work with readers from different companies. But so far, PDM, having aspired to be the Microsoft of e-books, has been the biggest critic of the idea. Too bad. Megalomania is bad business.


Killer book-dust

Killer book-dust: a new reason for librarians to consider e-books and TeleRead. While hardly a nuclear-level threat, library dust supposedly can cause lung cancer, among other illnesses. (Via LISNews.)


Online newspaper maven to pulped-wood trogs: Wise up about the Net or die

Starting late last month, the Washington Post has been thudding against my door just on Sundays--even though I'd earlier been a daily-and-Sundays newspaper reader from elementary school on. Took several calls to L Street, because the Post circulation operation kept bungling. But I finally succeeded in cancelling.

Nothing against the Post. It's just that I have so much to read on the Net that I can't track the District of Columbia sewer issues that closely or be a gung-ho student of Maryland politics. Hey, Posties, I'm in Virginia.

Meanwhile, via e-mails directly from the city of Alexandria, I'm getting crime reports and city governent basics--the very very stuff that a more clueful L Street could provide me in a journalistic form. I do keep up with the Post online edition, but not in the same detail I did with the print edition.

Apparently more and more people feel the same, going by What Newspapers and Their Web Sites Must Do to Survive, a just-out article by online newspaper consultant Vin Crosbie in the Online Journalism Review. That's especially true of the young. And a UNC study shows that, contrary to old beliefs, the 20 somethings won't automatically take up newspapers when they're middle aged.

Among Crosbie's remedies are highly customized news and better integration of online and offline operations. I'll go for that! If the Post wants more than a Sunday subscription from me, it'll have to earn it.

Yes, I know. Sounds like dotcom chest-thumping. But it ain't. Despite Viagra spams, viruses from disguised as tech support messages and other joys, the Net keeps getting better and better as an alternative to pulped-wood newspapers,

The TeleRead angle: Wide use of book-and-newspaper-optimized tablets also fit for other apps--devices of the kind I've been advocating since the early '90s as part of the TeleRead plan--could help newspaperdom. And eventually maybe E Ink-style tech can bail out this backwards industry.


POD biz may have to pay millions to inventor's estate

The print on demand business--the big guys and maybe even the small timers--may have to pay millions to the estate of a St. Louis inventor. Beyond a settlement, PODers might even have to pay a five-percent licensing fee in many cases on manufacturing costs if this unfortunate decision sticks. That's hardly glad tidings for POD customers, either, of course.

In an item headlined "Jury Rocks POD World," the Publishers Lunch newsletter reports:

The future course of nearly everything involving print-on-demand-based creation and selling of books is subject to potential change as the result of a jury verdict announced yesterday in a St. Louis federal district court. The jury found that Lightning Source (amusingly typed as Lightening Source in court papers) both infringed and induced the infringement of the 1995 Ross patent held by the On Demand Machine Corporation, and that Amazon.com also infringed the patent.

The total award was $15 million. Lightning Source, Ingram Industries, and Amazon were all judged to have infringed willfully as well, which reportedly means that the judge will now decide whether to increase the damages as a result. (By Lightning's own count, they have manufactured somewhat over 10 million books.)

Issued in late 1995 to Harvey Ross (who died three years ago), the patent covers a "System and method of manufacturing a single book copy." According to a U.S. Patent Office abstract, "A computer based book manufacturing, distributing and retailing system for the high speed reproduction of a single copy of a book is disclosed. The system is especially adapted for direct consumer sales since the manufacture of a selected book can take place at the point of sale. A master module includes a computer having a database of books to be selected, the books preferably being stored in a digital book-description format."
And now for the really bothersome stuff:
Expert witness for the defense Ken Brooks, president of Publishing Dimensions, says that the ruling could apply to "Anyone ordering a print-on-demand book." Though the patent has been the subject of research and discussion within the POD world for years, Brooks says, "I don't think anyone ever thought it would be this big. We were wrong." (Though On Demand Machine always maintained that its patent covered most uses of POD distribution in the book business, the ill-fated Sprout is apparently the only company that ever actually executed a license for the patent.)

Brooks predicts that, "It's going to have very significant impact within the industry. I think most people are viewing it as being Lightning Source's problem, or the printer's problem, or Baker & Taylor's problem." But with patent licensing fees being proposed by On Demand Machine at approximately 5 percent of manufacturing cost, Brooks expects that "This will be the excuse to drive a general 5% increase" almost immediately. Certainly "Publishers should expect a price increase, and should expect that that will indemnify and cover them."
Wonder if this might affect projects such as Anywhere Books. Perhaps not--since the suit appeared to be aimed at the commercial side of POD rather than the nonprofit side. But with a decision like this, you never know. What's more, how about possible ramifications for public libraries hoping to offer low-cost POD books to patrons in the future?

Related: Amazon, Lightning Source lose $15 million print-on-demand patent infringement suit, via About.com and Blackmask.


Google implants in your brain? So will cheats taint the neural search ranks someday?

GoogleOne of Google's founders envisions a day when people could be brain-implanted to pick up answers from Google. The exact quote from Larry Page is: "On the more exciting front, you can imagine your brain being augmented by Google. For example you think about something and your cell phone could whisper the answer into your ear."

Understandably the Register site raises a few questions. Here's my own, looking far beyond the possibly that Page raised. What if the future becomes Gibsoneque to the point where we're all wired into one big neutral network?

Bought brain-rankings

Will there be search rankings so that, for example, George Bush's brain can draw more traffic than Wesley Clark's? Will pols or shady corporate types unscrupulously rig the rankings--or simply bid for the best placement? Perhaps someday the chipmakers can come up with a new logo to serve as a tatoo on our foreheads: "Big Bro Inside."

Hey, I like Google, but before we step into implant territory, a little paranoia could be mighty healthy.


Too many e-books, too little time? Speed Reader Plus might help

SpeedReader PlusSeveral time we've carried items about Amos Bokros, a long-time TeleRead supporter with a dyslexia-type condition. Amos finds he can read faster and longer if he uses Wynn software. It lights up the words as the computer speaks them.

But what about the same idea for time-pressed readers without disabilities?

I haven't tried Speed Reader Plus yet, but it certainly looks intriguing and has already drawn at least one favorable review. No voice synthesis. But as you can see, it does help guide your eyes along to rev up your reading speed. At how much loss of comprehension? Not sure. Of course, if you use Mobipocket or some other readers, you already can do the e-book equivalent of cruise control and set your reader in the auto-scroll mode. The guiding will be at the line level, not the word one. But the possible benefits could still be there.

One possible negative: I wonder if I can pick up my favorite fonts from my desktop PC, as I can with Mobipocket. Wait. I see, via the vendor, Mobile Dynamo, that the software lets you "easily select various fonts and colors." Most any desktop font?

And the natural question: If you're reading for recreation, do you want your software to rush you along? Of course, whatever the reason for reading, I do find Mobipocket's autoscroll feature to be just the ticket for no-hands reading via a treadmill.

The other side of the coin: Who knows, perhaps the guided reading can permanently increase your rate--without guidance from the special software? I have no idea if the theories hold up.

The Tower of eBabel issue: Is this product compatible with proprietary formats like Mobipocket's or Adobe's? I doubt it! This is one more argument for de-greedsterizing Format Land. I want to be able to to use a wide variety of products to read e-books--including those with special featurs such as Speed Reader Plus.

Related: Some posts at Pocket PC Thoughts. Speed Reader, by the way, also works with the Microsoft Smartphone OS.

Update, 11 a.m.: Ok, I've tried Speed Reader briefly and may well return to it again. Turns out that as reported by the reviewer for pocketnow.com, you can copy into Speed Reader whatever you can paste in. Ah, but that's the catch! Proprietary programs like Adobe allow publishers to limit how much you can paste, or stop you from pasting at all. DRM strikes again. The other thing is that at least on my Dell Axim, I can't see the cursor moving ahead, and I don't think that has anything to do with my use of a trial version--since it's supposed to be fully functional for a week (after which reading speed will slow). I just may be missing out on an option.


E-book organizer, anyone?

Here's a project that should be dear to many readers' hearts--an e-book organizer that ideally won't force you to act like a bookstore clerk and type in ISBN numbers or whatever. Remember, some people own hundreds of titles--in fact, thousands if you include those with DVDs from Gutenberg and the like.

I myself find the libraries in most commercial e-book programs to be totally inadequate. "Library" is a misnomer, of course--I really mean alphabetical list. Disgraceful. It's one more sign that the e-book business doesn't get it. People want to own books, and that means making it easier to keep track of them.

Needless to say, a Universal Consumer Format or related trimmings, with good provisions for metadata entries by the publishers themselves, would help the cause considerably.

Update, March 5: Alas, the RentACoder link at the start of this item has apparently expired.


'Criminal editing of the enemy'

Hmm. Isn't the Cold War over? And yet editors can still risk jail if they edit the wrong writers. TeleRead has ranted against Cuban oppression of freedom of speech via the shutdowns of non-Fidel-blessed libraries, but now it looks as if Washington may catch up to an extent in a different way. You see, U.S. editors could end up in the slammer just for doing their jobs. The New York Times headline: Treasury Department Is Warning Publishers of the Perils of Criminal Editing of the Enemy. (Thanks to Susan Glinert, Production Goddess for Apress.)


U.S.-made copyright law: An 'On the Beach' for Aussie readers, computer programmers and genetic researchers

On the BeachRemember the movie On the Beach? When radioactivity was on the brink of enveloping the entire world, but considerately waited a bit before totally poisoning Australia--thereby allowing Gregory Peck and Ava Gardner to act out some awesomely sexy beach scenes, while Waltzing Matilda played over and over again?

Oh, the inevitable parallel between the deadly clouds in the movie and U.S. intellectual property law, which looks ready to invade a pristine land! No deaths expected. But this Hollywood-produced cloud from Washington should take its toll on Australian creativity and freedom of access to information--not to mention the harm done to the Australian Gutenberg site, which has thrived amid Australia's shorter copyright terms.

Reflecting U.S. bullying and Hollywood lobbyist Jack Valenti's wishes, a proposed Free Trade Pact with the States would extend copyright terms, Bono fashion with life+70. It would even give Australia its own DMCAish laws--bad news for programmers and consumers alike.

But some plucky Aussies are speaking out against the parts of the FTA related to intellectual property. No guarantees of success here. But their arguments ought to make sense. From a report from Australia's ABC broadcast network--not to be confused with the Yank ABC:

A leading Australian expert on intellectual property law, Professor Peter Drahos, says the deal benefits US companies at the expense of Australian business.

"This particular balance struck in this bilateral agreement favours foreign intellectual property owners," he said.

He says it could drive up costs for schools and universities and damage Australia's emerging biotechnology sector.
Meanwhile an Australian programmer notes that with the DMCAish-like provision against circumventing copy protection, "Mr Fair Use is slumped against the bar, sobbing into his beer."

The proposed agreement even comes with provisions for broadcast flags, Hollywood's way of intruding on the home-recording rights of Australians.

What's more, some fear that the anti-reverse-engineering provisions could interfere with efforts to create screen readers for the blind to read e-books in proprietary formats.

Going beyond the silicon-based variety of high-tech, critics say that bio innovation could suffer Down Under because of the bias in favor of intellectual property owners--who, of course, will in many cases be American.

Oh, wait. The treaty will kindly allows for "appropriately qualified researcher" in Australia to engage in "non-infringing good faith activities."

Many other such joys lurk in the FTA, unrelated to intellectual property issues, but those are some of the highlights of interest to me and my programmer friend in Australia. Hey, no ant-Americanism here. I'm a Yank myself and have a vested interest in Australians resisting Valenti's radioactive cloud. A succcessful last-minute fight against it just might give comfort to my fellow DMCA and Bono critics here in the States.

Update on the mini guide to e-books and TeleRead for parents, educators and policymakers: Still on the way. Was sidetracked yesterday by some other important priorities.


Carnegie: Would he push for public libraries if he had to do it all over again?

To hear some people on the Net, you'd think not. Aren't business people supposed to be against new government activities? Imagine--the nerve of actually providing free access to books! I can recall one entrepreneur saying he doubted that Andrew Carnegie would have favored tax-supported libraries.

Actually Carnegie helped communities build their own libraries but expected them to support 'em. And guess what they used and still do today--yes, taxes. Tax-supported libraries, whether local or of the national TeleRead variety, are not the full answer. But I'd hate to see a world without public libraries, and now I see that editorial writer Martin Gottieb of the Dayton Daily News has some similar thougths in his essay Can public libraries ever work? In the absence of experience, some people would be doubtful. (Thanks to LISNews and, separately, Alev Akman.)


Wednesday, March 03, 2004:
Book interruptus: How the red circle intruded on 'The Sunset Gang'--and a better way

YahooVia The Sunset Gang, a memorable short story collection from Warren Adler, I'd just finished reading about the rekindled romance between a widow named Frieda Smith and a still-very-married Harvey "Heshy" Feinstein. Raised in the Brownsville section of Brooklyn, they now lived in the Sunset retirement condo in Florida, where, Adler writes in another story, ambulance sirens were the anthem.

Suddenly a little red circle appeared on the screen of my Dell Axim, I could no longer turn the electronic pages, and I took in the accompanying message: "This book has expired." What a timely word. I was reading about older people to whom "expired" conjured up images of obits and funeral home notices. The villain here wasn't KnowBetter.com's cozy little $19.95-a-year library. That's just the way the library system had come from Libwise, a branch of Fictionwise, which, in turn, was reflecting the wishes of paper-era publishers who understandably didn't want people to keep library books forever rather than buying them.

Building your own library from public library books--legally

Yes, publishers should be able to turn profits--no arguments. Under TeleRead, at least some books might qualify for the permanent checkout approach, under which people could enjoy library books on their own machines as long as they wanted. This would allow them to build personal libraries. Like it or not, people want to "own" books, and TeleRead would be one way to reconcile the library and bookstore models. Needless to say, compensation levels for publishers could be somewhat higher for "permanent checkout" books than for others. Perhaps in certain cases, patrons would be paying at least some money to make this possible for individual books they liked. Or else libraries could limit the number of permanent checkout e-books per patron per year.

As it happens, the Libwise system already has a commendable option that lets people purchase books they borrow. That's a good start and one worthy of attention from the public libraries, which, if they used the traditional purchase model, could point buyers toward publishers' sites or else those from a variety of e-bookstores without any favorites being played. Of course, the ideal would be free permanent checkout in the library sense--and for every book. But given the limits of library budgets, I'm willing to be pragmatic here.

The public domain: Another 'expiration' alternative

"Owning" e-books for your personal library--no need to worry about expiration!--is already possible with public domain books, which public libraries need to get serious about giving away. This flexibility is yet another reason to repeal or at least mitigate the loathsome Sonny Bono Copyright Term Extension Act.

TeleRead, paying for modern books, by still-living authors, as opposed to heirs of long-dead writers, could help make up for the revenue the publishers lost from the shorter terms. Talk about creative incentives. Live authors tend to be more productive than expired ones.

Housekeeping note: I might not have much more to post today. I'm working on a "The ABCs of Electronic Books and TeleRead: A Mini-Guide for Parents, Educators, and Policymakers," which I most likely will put up here tonight or tomorrow.


Tuesday, March 02, 2004:
Conning Google--with fake links

While Yahoo is tainting its search results by selling out, Google and presumbly other search engines are suffering from another problem--fake links. Unscrupulous site owners create them to bump sites higher in the Google rankings. An item from journalist Steve Yelvington's blog:

A lot of the slimeball activity on the Web these days amounts to poisoning the town well. I got to thinking about that today when I happened to look at "referrer" log data for my Web site. I noticed a couple of hits that suggested somebody with a weblog discussing the Paris Hilton video was linking to my site. Why on earth would that be true? It wasn't, of course; it's trivial for a programmer to fake the HTTP_REFERER value by tinkering with the HTTP request, and the answer to the obvious question of "why would you do that?" leads us to the poisoned well.

The village well of the World Wide Web these days is Google, whose search technology holds the village together. Google's PageRank algorithm "bubbles up" a Web site if a lot of others link to it. The reasoning is: If a lot of people think it's worth linking to, it's probably worth looking at. A great idea, but it's being exploited...
Needless to say, both search engines and future online libraries in the TeleRead vein would do well to consider countermeasures against this sort of thing.


Yahoo taints search results--and partners with nonprofits in a PR move to fend off criticism

YahooYahoo is offering a new Site Match program to let clients "effectively submit Web content, update it frequently, obtain additional targeted leads, and track and optimize their performance."

Translation: Pay up if you want Da Judge to pimp for your site through guaranteed inclusion and other means such as more frequent indexing. Yahoo is a favorite of mine--I use My Yahoo as my customized starting point for the Web, complete with RSS feeds from my most-read blogs and news sites--but this sucks big time. An integrity gap is developing between Yahoo and Google, which does run "Sponsored Links" but separates them from true search results.

On the positive, Yahoo will apparently take care to make sure that worthwhile projects such as Project Gutenberg get better exposure than they would otherwise. That is A Good Thing. But you know what? I'd rather that Yahoo just leave things alone.

Yahoo's latest actions will, at least in a small way, reduce the usefulness of the Net as a whole. That is just my opinion, but as I see it, the partnerships with Gutenberg and the rest are a form of PR/marketing spin to distract the media. And is "partnership" really the right word? It just means, "Hey, we know the public would howl if we trampled on you with our new marketing scheme, so we'll give you some freebies."

How this affects TeleRead as a Web site: We're getting far more Web traffic from Google than from Yahoo. The latest plan from Yahoo, if enough people share my opinions about tainting, just might increase the discrepancy.

And another TeleRead angle: We need commercial search engines, but along the way Yahoo's actions show how the bottom line will so often prevail over the interests of users. No replacement exists for a TeleRead-style library approach. A mix of the commercial and noncommercial, just as in radio, is the best way to guarantee freedom of expression and diversity of content.

Related: Yahoo to Charge for Guaranteeing a Spot on Its Index in the New York Times. Some specifics: "Sites will pay from $10 to $49 for each Web page indexed and from 15 cents to $1 each time a Yahoo user clicks on a link to their sites." Also see Yahoo to Add More Content to Search Results, from Reuters (long a news partner with Yahoo), as well as Yahoo crawls deep into the Web, from CNet.

Another e-book angle: Will Yahoo become like some big book chains and ask publishers to pay up for special treatment in ways other than ads identified as such? Nothing wrong with ads. Plenty wrong wtih corrupted catalogue results!

Disclosure: It isn't as if Yahoo hasn't tried the pay-for-more-play angle before. Several years ago I recommended that a Web editorial client of mine, a Certified Financial Planner, plunk down $400 or whatever, and we did get better play than I suspect we would have otherwise. I'd have been remiss in my duties to the CFP if I hadn't done that. I certainly won't blame businesses for using Yahoo's pimp services. What choice do they have? This is a shakedown. It isn't at the Mafia level, but is a far cry from the values that defined Yahoo in the beginning. Welcome to the modern Yahoo--where ad people, not librarians and information scientists, call the shots. More than ever, we need TeleRead.


Monday, March 01, 2004:
How open should DRM be?

"Incompatible anticopying technologies known as digital rights management (DRM) are being applied to everything from music files to Microsoft Word documents, and the lack of rules that can make these schemes work together is increasingly prompting calls for a standards revolution." - CNET.

The TeleRead take: Boy, can you say that! The OeBF folks from the Rights and Rules Committee have been in touch with MPEG folks. If they can all make some harmonious music together with conforming standards, that would be A Good Thing as long as the needs of consumers don't get lost in the shuffle. Now, if ContentGuard-created XrML can truly become an open standard as a rights expression language!

Related: MP3 getting antipiracy makeover, via CNet and Pocket PC eBooks Watch.


Biz group: Beware of Draconian copyright law

"The entertainment industry's pursuit of tough new laws to protect copyrighted materials from online piracy is bad for business and for the economy, according to a report being released today by the Committee for Economic Development, a Washington policy group that has its roots in the business world." - The New York Times.

The TeleRead take: Just read the executive summary from the CED site. Among the more interesting recs is this: "Market-based economic tools that provide incentives for copyright-holders to facilitate follow-on innovation should be considered--including measures to provide earlier dedication of copyrighted materials to the public domain." Without prompting, I can immediately think of a rather effective tool: Prof. Lessig's plan to mitigate the harm from the Sonny Bono Copyright Term Extension Act via required fees to maintain old copyrights. Looking forward to taking in the full report.


How creative people can make money off a many-to-many Net: A clue from Pew

"44% of Internet users have created content for the online world through building or posting to Web sites, creating blogs, and sharing files." - Pew Internet Project.

The TeleRead take: If you're a writer, artist, musician or publisher, you may well make more money by being liberal about fair use--such as allowing book excerpts. That's long been the theory among the clueful on the Net, but the Pew stats really strengthen the case if you extrapolate.

Most Net users are spending more time being recipients rather than creators of information, but if they do want to post excerpts from books or whatever, it'll help if you can make life easy for then--without bureaucracy from your lawyer or permissions department. No guarantees, but exposure can mean plenty these days. For an example of the benefits, read the latest on the Creative Commons project

For our vision-impaired readers: You can listen in RealAudio to a Future Tense radio show that discussed the report. (Thanks to David Faucheux for the link.)


Will Killer Penguins turn Palm Digital Media into road kill?

PenguinThe Evil Genius was about to buy a Sony PDA with a Palm OS, but instead settled on a Sharp Zaurus PDA with Linux--in part because Linux is open source. That, in turn, meant he would ditch the highly proprietary PalmReader, which doesn't even come in a Linux flavor. A trend here?

Perhaps the forthcoming Palm OS 6 and a future PalmReader app will be so good that not the slightest question will exist about the long-term success of Palm Digital Media in those areas. Then again, maybe not. Oodles of techies like the EG favor an open-source approach that is the antithesis of everything that Palm stands for. Stupidities such as Palm's narrow-minded decision not to let the included Palm Desktop or a PDM equivalent support Mac OS X--a negative of the forthcoming Palm OS--are making a lot programmers rethink their commitment to the Palm OS.

And guess where many programmers will go, bringing consumers in tow? You bet--to the Land of the Killer Penguins. Embedded Linux will have claws. Its interface will be increasingly slick and please not just the usual geeks but also civilians who don't want to be locked into a PDM way of doing things. Palm OS is the biggest PDA OS right now. But so what? That just means it has all the more room to tumble.

The mainstream media smell blood, and the Feb. 23 Fortune has zeroed in on the Palm OS as one of the products to which Linux could do grave harm. Quote:

Marc Andreessen, who led development of the first web browser, says open source will have the biggest and fastest impact on products "with broad horizontal appeal, where a lot of people use them in the same way." He means programs like Windows, Microsoft Office, low-end Oracle databases, and the Palm OS.
It will be interesting to see how PalmReader fares in the future. On the surface it would seem to be a pleasant world for the gang doing the PalmReader, but not necessarily so. My sense is that just a tiny fraction of the people actually buying Palm hardware are really taking e-books seriously. If they were, then the global sales for the whole bloody industry would be a lot higher than $10-$20 million and e-books would be much closer to the billions of sales that the mavens were predicting. Could PDM end up ditching or downplaying the underperforming PalmReader operation? Already PalmReader has a quaint, old-fashioned look compared to the newer Mobipocket, which is fast winning converts. At least for the Cleveland Public Library and perhaps others, OverDrive is sensibly ditching PalmReader in favor of Mobi. It's easy to see one reason why, and I mean that literally. With Mobipocket, for example, I can import my favorite fonts from my desktop PC, beyond which the interface is more logical. Mobi's general aesthetics--in fact, especially the aesthetics--put PalmReader's to shame.

Palm Digital Media: Yo, Lee Fyock! Let us know what's up with your OS 6, beyond previous publicity. Just why will it be better than embedded Linux? And are you going to get serious about a PalmReader makeover? (Lee hates the word "Yo." Now I know. Yo, Lee! There. I feel better now.) Hey, I hope you wise up and join the embedded Linux bandwagon--is there any chance of that? Wanna see the future if the much-anticipated OS 6 and PalmReader can't compete and open source prevails? Here's some old but still-timely reading.

Palm-oriented programmers or ex-programmers: Anyone care to come forward about the prospects for this platform, or would you rather just forget it and quietly move on to embedded Linux? I'm interested in hearing from you either way. In a Palm OS 6 forum, a few programmers are complaining that the proprietary API for the existing OS is extra-quirky and generally won't work with standard C++ programming approaches. Got a problem with programming for platforms beyond Palm OS 6 (Windows, Linux, etc.), given the proprietary differences? Email me.

Update on the Evil Genius: Yep, Dave acually has acted on his decision and ordered a Zaurus from Amazon (I see the current price of a Model SL-5600 is $289.88, though it may change in this link). Check out his latest post on that and our making him a poster boy for Open Source in an e-book context. An aside: Yep, one of these days I'll add trackback to the TeleBlog.


Sunday, February 29, 2004:
Evil Genius kicks DRMed e-book habit

KellerYou needn't be an Evil Genius to hate onerous Digital Rights Management, but it helps. Dave Slusher has laudably kicked the habit of buying DRMed e-books. His original skepticism of DRM was a little more at the abstract level. Dave had worked as a software engineering team leader for the server side of Intertrust's PDF publishing system, and he obviously knew how messy the technology could often be.

But now Dave has a more practical and personal reason: his own pain and suffering as a past buyer of DRMed books. Technology marches on, but you may be stuck with beloved e-books locked in a nasty, proprietary shell--mere detritus left behind by a megaconglomerate with other suckers to reel in. I'll let Dave tell his story, as he did so nicely in his blog today after deciding to buy a Linux PDA:

As I've made the decision to get a Sharp Zaurus for the next PDA, I can't use my typical PalmOS apps anymore. For all the multiformat books and magazines I have purchased from Fictionwise, I'm OK. I can redownload them in another format that is usable on the Zaurus. However, I have a few (not a whole lot, but some) Palm Reader/Peanut Press books that I actually purchased. Every one of these is no longer usable by me.

There is no Palm Reader for Zaurus so the money that I paid Palm is essentially gone and there is nothing I can do about it, save either trying to crack the books myself or someone releasing a Palm Reader port for the Zaurus. Theory moves into practice as I now find myself a burned customer, who is rewarded for paying my money and downloading legitimate copies of things by not being able to read them any more.

Thanks Palm/Peanut! Hope you enjoy the $50 or so I have spent for your books that I can't read anymore.

A bad part is that I can't refer back to books for which I paid good money--in most cases a similar amount to what one would pay for the paper copy.
"Even worse," Dave says, are the books that "I haven't read yet." One is Conscience of a Liberal by the late Sen. Paul Wellstore, just the first chapter of which the Evil Genius has gotten through. Dave goes on:
I paid $10 to get the annotated Fire Upon the Deep, in which I'll never be able to dig through the annotations again. With this situation comes a bit of resolve from me. I will never again spend one cent on any e-book that involves a form of DRM that leaves me at risk for not being able to read it later. I will happily pay for electronic reading--I plan on retaining my electronic subscriptions to F&SF and Asimov's SF--but never again will I pay for DRM books. I'm not putting my cash at risk to ease publisher nerves. If you think I as your customer can't be trusted and must be treated like a criminal under house arrest with an ankle bracelet, you can kiss my ass. I'll keep my money in my pocket and not give it to you. I'll give it instead to your competitors who don't treat me that way. God forbid, I might even read more Baen books! I love how they do business, if only they published more books I wanted to read.

Ironically, this moment of resolve comes at a point where I really am trying to purge the enormity of paper books from my life. I continue to try to reduce them, knowing that we have at least one more move in our lives in the next few years. I'm the absolute perfect consumer for e-books--you might find someone equally close to the ideal target demographic but you will not find someone closer.

I love to read. I love to hoard, but I've hit the limits of my physical space. I enjoy the act of reading on a small device. As a geek I have no problems with the weaknesses of e-text. I love the ubiquity of having a library in my pocket at all times. I have disposable cash and the willingness to spend it on this product line. E-publishers couldn't hope for more. However, because of their business practices a significant number of them have lost access to me and my money that I will be spending somewhere, just not with them. What a shame for them, what a boon for the publishers who are trusting enough not to lock up their documents in proprietary DRM and who understand that the risks of unauthorized file trading are far lower than the risks of not making the money in the first place.
Yo, Open eBook Forum? Got that? Although I've been writing about e-books for years, I myself have yet to buy my first DRMed e-book in a "secure" proprietary format. Download a freebie? Sure. Borrow from KnowBetter.com's library? No problem! But I'm not gonna let the industry shaft me with a book to which I may be denied access someday because of a situation like Dave's. I want to own books for real.

Before I'll plunk down money...

Mind you, I would be open to compromise. What if the industry could do a nonproprietary form of an easy-to-live-with DRM Lite, as I'll call it, and included buyer protection either through a consortium or a partnerships with librarians--ideally through a TeleReadish approach. Then I might actually plunk down money.

Until then, at least as a buyer rather than a borrower or freebie-downloader, I'll do my best to boycott "protected" books in proprietary formats. Way to go, Dave! Glad to see you feel the same! If the e-book industry wants to grow worldwide revenue from a pathetic $10-$20 million a year, it should kick the proprietary DRM habit--because otherwise you and I and zillions of others will keep saying "No" to unadulterated consumer abuse.

More details from the Evil Genius on his Evil past with Intertrust: "All the key exchange and credential redemption stuff was what I did for them, and we did it well, but Intertrust imploded without ever understanding the value of what we delivered. 6 months after bringing the project in on time and under budget, we were all laid off.

"Somewhere in the time after that, I had my Saul of Tarses to the Apostle Paul conversion and realized the many ways in which DRM subtracts value. Today is the first day where that realization actually translated into a real-world situation that cost me money, which is what I write about."

In fairness to Palm Digital Media--before I strike again, which I'll do in most of this paragraph: Palm Digital Media's DRM is actually gentler than for the industry as a whole since it's keyed to credit card numbers rather than individual machines. And who knows? Maybe PDM will eventually come out with a version of its reader for the Zaurus and other Linux PDAs. But meanwhile both human readers and Sharp, the maker of the Zaurus, will pay the penalty. If I were a PDA or tablet hardware vendor, I'd be screaming-angry at the DRM lobby for holding back technological progress.

To give another example, last I knew, Palm Digital Media wasn't coming out with another version of its reader for the Microsoft Smartphone--not unless enough of a market developed. For that matter, even Microsoft wasn't going to do a Reader for the Smartphone. Just what does that tell you about those DRM stalwarts' concerns for the consumer? Plenty, and it isn't flattering.

The library angle: Librarians, beware of commitments to books in formats that may become obsolete--perhaps much sooner than you'd think! Make sure the vendor can and will update and change proprietary formats as needed. And never, never stop reminding vendors of the need for a Universal Consumer Format--with nonproprietary DRM Lite for publishers insisting on copy-protection--to rid the e-book industry of its growth-stunting Tower of eBabel. Here's to a UCF as soon as possible!

Update, 2:03 p.m. on March 1: More from Dave Slusher's blog: "I placed the Zaurus order yesterday. I was dawdling around and got this horrible feeling that I was about to replay my Clie fiasco by waiting too long. It would really have sucked if either the 5600 was sold out or not available at the $330 price (a third off of the nominal $500 list price) so I just did it. I'm a ditherer by nature, so I had to get active. It took me 15 minutes to figure out how to use the Amazon gift certificate (the code number was in invisible white-on-white HTML text just to piss me off) but the order is in." The EG also says:
David, it actually gets better. For unencrypted Fictionwise books my format of choice was iSilo, which isn't on Zaurus and has a closed format. For similar reasons, I'll be dropping that as well. A while back the guys at FW were asking if there was any interest in Plucker formatted books from FW. I liked Plucker on the Palm and would be happy for it to be my primary ebook/web page reader on the Zaurus.

I'm a little weirded out by being the spokesmodel for this transition of dumping the closed (Clie/PalmOS/Palm Reader/iSilo) for the open (Zaurus/OpenZaurus/Plucker) but [the TeleBlog] posts are an accurate summation of what I'm doing and why. Although I can't say I'm dying to fart around with the OS layer or the rendering code or file formats for my books (and in fact I hope that I never do), it makes a world of difference to me between having that option and not having that option.

The last closed app that I'm really going to miss: Vindigo. On a webpage I heard a whisper of a rumor that someone is working on a Zaurus Vindigo solution. Man, I hope so. I'm still paid up through July.
Hey, Dave, best of luck with your transition, and keep us posted!

Update, March 1, 10 p.m.: I see Dave just did another item, carefully making clear how he ended up at Intertrust and exactly what he did there.

Meanwhile, one of Dave's human readers notes that there is a PalmReader for OS X (that's a Rothman-supplied link). But, hey, Dave wants to read e-books on a Linux PDA, and in that respect he is still out of luck. As the EG puts it: "I paid my money to be able to read these books away from the computer on the small ubiquitous device I keep on my person. If the option was 'Pay $10 for FIRE UPON THE DEEP and you can only read it sitting at your Mac,' I would have kept my money. I want the open solution. I went with the Zaurus ultimately because it was more open than a Clie, and I want the same from my documents. I want to be able to do with them what I see fit and that includes moving them from device to device in the future, on OSes that haven't yet been invented and in uses I haven't yet dreamed of." Amen.


Hollywood vs. tech: The young talent Bono will stymie

A young film-maker from Dallas went to the Sundance festival this year and won the Grand Jury Prize for the best drama by writing, directing and acting in his own film. Shane Carruth edited the 16-millimeter film digitally on a home computer. Meanwhile other film-makers were shooting digitally to begin with. In fact, this year almost half the film-makers at Sundance used digital video cameras to shoot films, far more than the 12 percent of three years ago. They enjoyed good technical quality at a fraction of previous costs.

So what does this mean in the context of the Sonny Bono Copyright Term Extension Act? Plenty.

Imagine all the adaptations that could be made from modern classic novels, or obscure works whose owners now can't be located, if Bono did not exist and young film-makers didn't have to worry about royalties paid to heirs and megaconglomerates--as opposed to living writers. While Carruth wrote script from scratch, Hollywood has a long and honorable tradition of adaptations from novels, and the new technology could reinvigorate it. What's more, young film-makers could use digital editing techniques inexpensively to create films from old archives. Furthermore, film-makers could use digital editing techniques inexpensively to create films from old archives.

In fact, the time may even come when scenes and actors could be created digitally at next to no cost--a prospect that scares old men like Jack Valenti and the rest of the Hollywood establishment, but excites those more comfortable with the new technology.


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