Reselling E-Books and the One-Penny Problem - NYTimes.com - 0 views
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Both Apple’s patent and Amazon’s are incredibly broad. And they give the publisher and bookstore a lot of control over what would happen — including, possibly, providing for a cut of each resale.But what about the one-penny problem? These patents also give the publisher or bookstore the right to impose a minimum price for reselling an e-book. That limit could drop over time, as Apple’s patent makes clear: “As another example, all digital movies must be sold for a minimum of $10 until six months after their respective original purchase date. After the six month period, all digital movies must be sold for a minimum of $5.”Both proposals suggest that publishers could also limit the number of times a digital item can be resold: “A threshold may limit how many times a used digital object may be permissibly moved to another personalized data store, how many downloads (if any) may occur before transfer is restricted, etc.,” says Amazon’s patent. “These thresholds help to maintain scarcity of digital objects in the marketplace.”