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From Sticks to Carrots: CCC's Rightsphere Moves Relicensing Beyond Fear Factors
   
    9 June 2006
SUMMARY:
 
 
Content relicensing has been a poor stepdaughter in the eyes of many publishers, incremental revenues that trickle in when their audiences decide to toe the line on copyright compliance. But what if learning what your redistribution rights were was...fun? Copyright Clearance Center's Rightsphere provides enterprises with a powerful tool to help users feel good about content relicensing - and in the process encourage publishers to think more positively about users being distribution agents for premium content.

What rights do you have to redistribute copyrighted content? Oftentimes more than you may guess. It can be confusing enough in the Web world to figure this out when you're trying to do the right thing with respecting copyrights. But in the world of enterprises it can be downright daunting to figure out how overlapping content licensing schemes and special-case licensing apply to any given document. Yes, we could punt and hit the "send" key without checking what's an allowed use or mosey down to the copier. But darn, those compliance officers are right down the hall...

What's a well-meaning corporate citizen to do? With the announcement of Copyright Clearance Center's Rightssphere rights advisory and management service, the answer to this question is probably "the right thing." Rightsphere is a system that integrates a simple browser icon with a database of very granular data on subscriptions and reuse rights pertaining to personnel at a company for licensed content. Click on the Rightsphere icon when you're looking at a page and it will tell you very clearly whether you're in the clear to use it, whether there are restrictions, or whether you will have to purchase rights prior to redistributing it. If an ecommerce option is needed, it's a simple click away, resembling the options provided in CCC's RightsLink media-oriented ecommerce product. The interface provided by Rightsphere has been well designed to provide a very positive and easy-to-understand licensing experience, emphasizing the "cans" of what can be done as much as possible.

With Rightsphere it becomes much easier to provide copyright compliance in an enterprise environment while enabling copyrighted content to be shared quickly and effectively with colleagues who need to be in the know as soon as possible. In doing so, publishers secure incremental revenues very efficiently. But most importantly, through its development of Rightsphere CCC created an infrastructure that can take into account overlapping subscriptions and relicensing rights. This data can allow an enterprise to take a closer look at how content is being licensed and used - and to consider how to strike licensing deals with distributors that are most advantageous to their operations. This "carrot" of potential savings is bound to make the "stick" of content relicensing compliance much more appealing for enterprises to consider - especially when there's a user-friendly interface that takes corporate librarians out of the rights-checking loop whenever possible.

Content relicensing is one of the major opportunities for publishers that has been sorely neglected as a revenue stream. Peers trust their peers to recommend the content that's most worth using - a crucial factor in enterprises as much as it is in consumer markets. Rightsphere demonstrates that when there are adequate technologies in place peer distribution can become a powerful force for new ways of looking at users as partners in the publishing process without the negativity that surrounds many publishers' thinking about redistribution. A few key implications to bear in mind:

  • Efficient licensing leads to better content services. Several years ago some bright software developers came up with a great idea: create a system that would help investment banks to understand at a very fine level how their licensing of financial data feeds was producing overlapping costs. They struggled at first until they struck on a client that would let them keep a percentage of whatever savings they could generate for the firm. Several millions in savings later, their client was very happy and a new business was off and running. The track record of market data management systems shows that detailed analysis of content usage not only saves money but also creates an environment in which content gets used more efficiently - leading to more effective services from content vendors.
  • Efficient licensing opens the door to a new appreciation of premium content's value. The unfortunate progression of legislation to restrict the licensing of content technologies used to distribute music online in the U.S. (weblog coverage) reflects the attitudes of music publishers that are dead set against giving users control over distribution. It's interesting to see how in enterprise environments a premium is placed on content that can be shared efficiently with peers while it's a fearsome thing in consumer content. Online publishers should consider how enabling users to help their peers license content legitimately can lead to a much higher appreciation of their products' value. This is especially important given how much content enterprises consume from the open Web: your online users wear many hats.
  • Efficient licensing leads to more personal relationships with audiences. While many enterprise aggregators of premium content are already well on their way to moving profits away from content licensing and towards the licensing of sophisticated business solutions, content licensing is still at the heart of their revenues. Rightsphere signals an opportunity for content distributors to think about how they can build up a service relationship with users through their sharing of content with peers. Right now Rightsphere options are focused primarily on packaging text for reuse, but its use opens the door to licensing sophisticated value-add services provided by aggregators and other value-add providers to peers of subscribers. Given the presence of relicensing services on the Web servicing consumers the possibilities for enhances contextual revenues from relicensing are bound to have broadening appeal as these services continue to evolve.

Rightsphere is just one of a number of new approaches to content license management that puts the accent on the positive aspects of content sharing in environments where it's mission-critical to do so. The "fear" factor that usually surrounds relicensing issues will predominate for a while, but aggressive publishers and content distributors should recognize that with improved management of redistribution the carrots of delivering content and services in personalized contexts are going to be a lot more compelling than the sticks. In today's content markets getting content into the right context as efficiently as possible is the key to better margins and more productive client relationships. It's time for publishers to recognize the full power of this proposition and to learn how to exploit users as content distributors as effectively as possible.

- John Blossom

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