This is a very good news. In particular:
This and other mobile apps are being developed under a license agreement with Adobe® and using the Adobe Reader Mobile 9 SDK. All OverDrive apps will support EPUB, PDF, and eBook content protection functionality, including library lending and expiration.
It has been a limitation of Adobe's 3rd-party licensing approach to the RMSDK that they don't produce any reading apps themselves. So this requires someone else to pay for a license and the associated development and maintenance costs. With the exception of txtr (Txtr iPhone app - Adobe DRM, over the air downloads, and more
), there had previously been no known licensees targeting smartphones. It now appears that Adobe's strategy has paid off handsomely, since OverDrive will port the RMSDK to most smartphone platforms at no cost to Adobe. This is a good deal for OverDrive too, because the apps will help maintain their head start on lending library ebooks in the US