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California State University eBook Pilot Project

In response to Cecelia's inquiry, I am including in the text of this message
a recent press release and the "Open Letter from California State University
in response to The Chronicle of Higher Education".  Both items address the
California State University's eBook pilot project and study.

Lisa A. Moske, Associate Director
Systemwide Electronic Information Resources
California State University, Office of the Chancellor
401 Golden Shore, 5th Floor
Long Beach, California  90802-4210
Voice: (562) 951-4641     E-mail: lmoske@calstate.edu
FAX:   (562) 951-4973     URL:    seir.calstate.edu

-----Original Message-----
From: owner-liblicense-l@lists.yale.edu
Sent: Tuesday, August 28, 2001 7:42 PM
To: liblicense-l@lists.yale.edu
Subject: Re: Cal State and netLibrary.com

Can someone at Cal State clarify whether netLibrary is now allowing
multiple simultaneous users of their copyrighted e-books?  If so, is there
a cap for simultaneous usage?  In the past, netLibrary has cited
agreements with publishers in explaining the one-user-at-a-time rule. Have
they changed these source agreements?

Or, does the article refer to multiple simultaneous users for netLibrary's
public domain titles -- which has been their usual practice.

Cecelia Boone
MINITEX Library Information Network



August 28, 2001

Marge Gammon
netLibrary, Inc.



In a statement issued today, California State University responded to a
recent article appearing in the Chronicle of Higher Education that
resulted in confusion regarding the pilot eBook project under study with
netLibrary, Inc.

netLibrary, the leading provider of eBooks and Internet-based
content/collection management services, has been actively working with a
number of publishers, libraries and consortia over the past several months
to test alternative access models designed to better serve library patron
needs without compromising publisher business models or the established
relationships with netLibrary.

"As the study period progresses so that data accumulates sufficient to
generate meaningful results from these tests, netLibrary and its research
partners are committed to reporting their findings along with the background
on these projects ", said Marge Gammon, Sr. Director of
Marketing at netLibrary.  "At no time, however, were our current
relationships with libraries or publishers compromised by any of our pilot
research projects, and we believe the results will be important and useful
for all our business partners as we continue to establish and grow the
library eBook market", said Gammon.

"netLibrary joins with California State University in expressing
it's disappointment in recent coverage of its research efforts", said
Gammon.  A statement from California State University is attached.

# # # # #
August 29, 2001

An Open Letter from California State University in response to The
Chronicle of Higher Education

I am concerned and disappointed in the article regarding the California
State University and netLibrary appearing in the August 14 Information
Technology edition of The Chronicle for Higher Education.  Regretfully,
what started as a discussion about the positive influence consortia and
large buying groups can have in bringing innovative products, services,
and business models to the library world, resulted in a portrayal of our
relationship with netLibrary, Inc. that is not entirely accurate in its
description of the project currently in place, or of our positive working

A number of eBook access models are being tested by netLibrary and others
in the industry.  They are complex and often not as simple in their design
or execution as may have been implied.  It is not possible to use the
terms "Simultaneous Use", "Multiple Use", "Multiple Access", among others,
interchangeably without creating confusion and misunderstanding.

Cal State began discussions with netLibrary over a year ago regarding
opportunities for developing Multiple Access Models.  We jointly defined
the parameters for such a test project, which also included the purchase
of an equal amount of titles under the one-book one user model.  To ensure
a quality patron experience, honor netLibrary's publisher relationships,
and minimize financial risk to all parties, a cap was placed on the number
of patrons and, therefore, the number of titles that would be included in
our Multiple Access Pilot Project.  Numbers would be sufficient to be able
to track and compare circulation and usage activity between both models,
thereby providing netLibrary, publishers and libraries with important,
reliable data on the new and evolving eBook category.  This test is still
in progress.

More recently, Cal State acquired additional eBooks from the only
publisher who has now agreed to allow netLibrary to offer their titles on
a One-Book, Simultaneous-Use Model.  This purchase occurred only within
recent weeks and is not part of the original pilot project.

California State University continues to support the one-book, one-user
model and half of our eBook program operates on that basis.  We also
remain committed to working with netLibrary to fully understand the
benefits that alternative access models may be able to offer.  We regret
any confusion and concern that comments in this article may have caused to
both publishers and libraries, since, at no time, were there any elements
of this project that fell outside of the contractual relationships
netLibrary has in place with its publishers or library customers, nor has
there been anything but a positive, collaborative working relationship
between netLibrary and the California State University System.

Evan Reader
Director, Systemwide Electronic Information Resources Group
California State University