The recent war of words between Apple and Amazon regarding the correct way to price an eBook says a great deal about Apple’s brand value and their ability to leverage success in music market. Ironically in this case the roles are reversed with Amazon charging $9.99 for a best-seller and Apple planning to $12.99 – $14.99. By pricing eBooks aggressively Amazon hoped to stimulate demand, an important lesson learned from Apple’s success in music market. What is not clear is whether Apple’s pricing for eBook’s will proved to be as successful as their 99c per song and whether the download-to-own is the correct approach. Both vendors are deploying in-house content protection technologies.
Just looking at the sheer volume of second hand books available for sale on Amazon.com, my guess is that any eBook pricing model that does not allow the owner to resell the content is not likely to succeed. Moreover, the business model for eBook needs to correctly reflect the way people consume and acquire books. For example support an electronic book library or so-called subscription based models is an important requirement. The ability to share a book with friends and family, typical of books clubs all over the world is another model that must be supported. Text books also pose a serious challenge to the monolithic download-to-own model. This is to say nothing of the different types of devices, with either fixed or removal storage and a multitude of operating systems (e.g. Android, Symbian).
What is clear is that a one-size-fits-all approach (download-to-own) will not allow the eBook market to reach its full potential. Any viable content protection technology for the eBook market needs to support the full range of business models.
OMA DRM 2.1 is such a scheme, providing an ideal solution for eBook market. As an open DRM scheme it enjoys the support of content owners and service provides alike. The scheme is very robust and widely deployed. Moreover the scheme supports all the enhanced business models required by the eBook market.

