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Originally Posted by ATimson
I expect that more users doesn't increase OD's costs significantly, or they would have contracts with per-user licensing instead of a flat fee.
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The $10,800 annual fee comes from $900 per month, according to the contract. I don't know how the $25,000 fee for 2012 was supposed to be calculated, but the number isn't one that can be divided by 12, so it's probably calculated differently, possibly in a different way than a flat fee.
We also have:
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Beyond the ten-fold increase in usage and flat pricing that OverDrive's Stasiewski pointed out, he also said the centralized nature of Kansas's operation presented challenges, such as the need to integrate with 25 different ILS systems.
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I think that the costs were significantly underestimated back in 2006.