Ebook lending by public libraries - CILIP

Policy Department, September 2012
What are ebooks?
Ebook lending by public libraries
An ebook is content that is made available electronically for reference or reading on any device that
includes a screen. Ebooks are usually downloaded to a hand held device (such as a Kindle or ipad).
The value of ebook sales in the UK was estimated at £92 million in 2011. This is a 366% increase on the
previous year 1 . Growth in ebook consumption is being driven by older readers, particularly those aged
45-54. Just over a quarter of this age group bought an ebook in the six months to March 2012. 2
Do public libraries lend ebooks?
Yes, many of them do. In July 2012 CILIP undertook desk based research to get up-to-date
information. Our audit of library authority websites found that approximately 142 library authorities in
the UK are now either lending ebooks or planning to introduce this service before the end of the year. 3
How do libraries purchase ebooks to lend?
Ebooks are acquired by entering into a licence agreement.
There are many different suppliers of ebooks to libraries. As well as making arrangements directly with
publishers, libraries can approach vendors that sell ebooks on behalf of publishers and can also use
‘aggregators’. Aggregators license content from publishers and sell directly to libraries, hosting the
ebooks on their own platform rather than the publisher’s website.
What is the publishers’ view on libraries lending ebooks?
Some trade publishers have serious concerns about ebook public library lending and view it as a threat
to their business, arguing that if people can borrow an ebook, why would they buy one? Many are
concerned that lending ebooks may lead to pirate copies being made. Some take the view that public
libraries should only lend ebooks if the download to a reading device takes place on the library
premises, not through a remote online service. This replicates the use pattern for a print‐on‐paper
library and is known as “friction”. Other examples of “friction” include:
� One ebook available to one user at a time
1 Publisher’s Association Statistics Yearbook, 2011
2 Bowker, May 2012. Understanding the Digital Consumer
3 For a more detailed breakdown see CILIP, 2012. Ebook acquisition and lending briefing, p8 http://tinyurl.com/cp2lmxj
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Policy Department, September 2012
� One ebook can be issued a maximum of 26 times (equal to the number of loans before a print
book is worn out)
� Only for registered library users (living in the community or registered as students or teachers of
a university)
� Download to an ereading device, only on the library premises (i.e. no remote online service)
� Holdback period after publication
What are the main issues and challenges facing public libraries and their users?
� Implications for collection development, management and circulation
A range of practices and policies that were under the exclusive control of the library are now a matter of
negotiation with publishers and/or distributors. For the first time the ability to acquire commercially
published books for library collections is constrained. The supplier decides what is in a subscription
package. The result is that the library may not be able to present to its users the most popular titles or
the most specialized literature on a subject.
Elending is a service and therefore requires authorization by the rights holder. There is no
unconditional lending right.
The right to interlibrary loan an ebook requires both negotiated license conditions and a technical
capability that many libraries do not have access to.
Not all contracts offer perpetual access to ebooks. After a certain time, titles could be deleted from a
database by the supplier.
� Technical issues
There is a diverse range of ebook platforms and standards in the market that are often not compatible,
user friendly or accessible.
You cannot borrow UK public library ebooks on a Kindle, the most popular ereader.
� A national ebook lending service?
Do we need over 200 public library authorities managing ebook acquisitions and lending or could it be
done by national and regional consortia or even just one UK agency?
.
� Threat to the principle of free access to reading
Charging for ebooks could be seen as starting to charge for core public library provision. Section 8.3 of
the 1964 Public Libraries and Museums Act states that no authorisation shall be given for charges for
the borrowing of written material providing "the material is lent in a form in which it is readable without
the use of any electronic or other apparatus". Clearly this is not true for ebooks which do need a device
to read them and therefore a charge can be made for them with no upper limit being stipulated in the
Library Charges Regulations (1991). This brings into question the library’s role in ensuring freedom of
access to information for all.
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Policy Department, September 2012
� Competition from alternative providers
Public libraries will be in competition with alternative providers such as Afictionado, who plan to launch
a UK subscription “lending” (i.e. rental) service in 2012 4 . Amazon has already launched an e-book
lending service for Kindle in the US, although it is working with libraries.
� Public Lending Right
Public Lending Right (PLR) is the right for authors to receive payment under PLR legislation for the
loans of their books by public libraries. Section 43 of the Digital Economy Act 2010 extends PLR to
audiobooks and ebooks “lent out” from public library premises (N.B. a physical visit to the library is
required). This has not been implemented, however.
� Alternative formats for the print disabled
Ebooks offer the greatest potential to increase access to books by blind and partially sighted people.
However, restrictions on re-formatting text can impede access. Logging in using screen readers and
magnification software, and navigating online catalogues and selecting titles to download can also be
difficult.
� Value Added Tax (VAT)
Printed books and journals are exempt from VAT, but electronic resources are not.
Possible solutions
� Evidence that library users also purchase ebooks
Evidence that library ebook borrowers also buy ebooks could help to allay some of the publishers’
concerns. The Pew Internet Report concluded that “the majority of readers of ebooks (61%) prefer to
purchase their own copies rather than borrow them”. The study also contained data showing that
libraries and librarians are a prominent source (21%) for owners of ereading devices to get
recommendations for reading materials 5 .
A 2011 study by Library Journal and Bowker PubTrack Consumer reports that 50% of all library users in
the USA report purchasing books by an author they were introduced to in the library. 6
Hampshire Libraries is taking part in a pilot with Overdrive that has set up online links to booksellers’
websites.
� Evidence about levels of piracy
Ebook suppliers wrap their ebooks in robust digital rights management (DRM) software, meaning the
file expires after the loan period. There is no evidence of library loaned items being stripped of DRM
and loaded on file sharing websites. 7
4
Reported in The Bookseller, 14 September 2011 http://www.thebookseller.com/news/afictionado-plans-subscription-lending-service.html
5
The rise of e-reading, April 2012
6
http://www.publishersweekly.com/pw/by-topic/industry-news/publishing-and-marketing/article/49316-survey-says-library-users-are-your-
best-customers.html
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Policy Department, September 2012
� Licensing solutions 8
In the present situation when libraries face many different licensing models there is a need to develop
agreements with publishers’ organizations on standardized licensing terms, which would enable
libraries to make available on reasonable and fair conditions to their users all works published in
electronic formats chosen by the library. EBLIDA is exploring the idea of a Memorandum of
Understanding with the Federation of European Publishers on Fair Licensing Models (see below).
� Accessible ebooks
The RNIB’s recent leaflet "Can everyone read your books?" links to guidance for libraries, publishers
and booksellers and highlights accessible ebooks: http://tinyurl.com/cdl4d8u
Next steps
� On September 26 th 2012 Culture Minister Ed Vaizey announced an independent review of ebook
lending in England. For more information see:
http://www.culture.gov.uk/news/media_releases/9365.aspx
� The Society of Chief Librarians E-Book Group, which has over 100 public library authority members,
is involved in discussions with publishers about how to develop an ebook marketplace that works
for all stakeholders.
� EBLIDA is launching an ebook campaign (http://www-legacy.eblida.org/index.php?page=e-bookscampaign)
. The campaign suggests:
o an updating of the copyright regime for ebooks, e-lending and e-content in order to enable
libraries to continue to perform their services for all European citizens
o a Memorandum of Understanding with the Federation of European Publishers on Fair
Licensing Models as part of their “ebooks campaign”
� In November 2011 The World Intellectual Property Organization (WIPO) Standing Committee on
Copyright and Related Rights (SCCR) began formal deliberations on a Treaty Proposal on
Limitations and Exceptions for Libraries and Archives (TLIB). A number of TLIB clauses if
incorporated in an international WIPO treaty have the potential to influence ebook licence
agreements. See: http://www.ifla.org/en/copyright-tlib
� The American Library Association is currently negotiating with individual publishers in an effort to
convince them to provide affordable e-books to libraries.
Further information
A longer briefing, setting out more of the legal, strategic and technical problems that arise from the
addition of both scholarly and trade ebooks to public and academic and research library collections,
together with possible solutions, is available on the CILIP website at http://tinyurl.com/cp2lmxj
7
Taken from Edwards, S., and Leech, H., 2012. Library e-book lending fears – myth or reality? I http://www.goscl.com/scl-position-on-e-lendingin-libraries/library-e-book-downloading-socauth/
[accessed 20 September 2012]
8
Taken from von Hielmcrone, H, 2012. IFLA E-Lending Background Paper http://www.ifla.org/files/clm/publications/ifla-background-paper-e-
lending-en.pdf [accessed 25 August 2012]
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