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Email trails lead to DRM

David Becker CNET News.com

Published: 20 Apr 2004 12:45 BST

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An ancient email message embarrasses Microsoft in a key legal case. A leaked memo has Linux antagonist SCO Group scrambling to explain apparently secret Microsoft connections. A leaked message from RealNetworks chief executive Rob Glaser reveals his behind-the-scenes manoeuvring to get a stake in Apple Computer's booming iPod business.

All it takes is a quick run through the headlines to see why some software makers might think there's a market for products that lock down common types of business documents by restricting access to authorised recipients.

But the market for such tools remains small and fragmented, despite recent entries by high-profile players Microsoft and Adobe Systems. Analysts expect the market to grow slowly for at least the next few years, as companies wait for the technology to mature and for IT budgets to loosen.

The relative youth of this technology is evidenced by the fact that it doesn't have an agreed-upon name yet. Various software makers use "enterprise rights management," "document rights management" and "information rights management" to refer to similar technology. Others simply use the blanket term "digital rights management" (DRM), though that is more commonly linked with technology employed to prevent unauthorised copying of movies, music and other published content.

"Right now, you're talking about technology that's very immature and doesn't really work very well," said Scott Lundstrom, senior vice president of AMR Research. "I have yet to see security implemented in (an enterprise DRM) system that hasn't been able to be circumvented in a week."

He likens the existing technology to a hook latch on a screen door. "It'll keep your neighbour out, but it won't keep out a burglar. It's just enough to keep an honest person honest," Lundstrom said.

Whatever you call them, the various enterprise DRM products are inspired and enabled by similar forces. Ubiquitous email has made it easier than ever to pass around documents. At the same time, ever-present Internet access has made it feasible to use server-based software to restrict access to corporate documents.

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