Excellent discussion of DRM and how it works but I need to go to a lower level then that discussion. I need to understand the schemes that they use to restrict the electronic book. To say that B&N bought fictionwise to get control of the ereader format is at too general a level I need to understand how DRM technology acomplishes what it does.
For example what I think I know about DRM, and this illustrates the level of of knowledge that I am attempting to obtain, is DRM makes use of an older technology more frequently called PKI or Public Key Encrpyion where the whole file is encrypted and a password is applied to the file. In order to read a PKI file one will need a key, called the private key, to know how to decrypt the file. Sometimes the key is in the form of a password that will unlock the content in the file. DRM removal works by recovering the password from the file via means that I do not understand as yet and using that to decrypt the file.
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