What Factors Go Into Determining The Price That End-Users Pay For Multi-DRM?

Different clients can choose from a variety of price structures and service bundles for multi-DRM services. For instance, a standard package will often contain multi-DRM licencing services together with native DRM API compatibility for the purpose of client integration. A bespoke plan is based on MAL or MAU, and a standard plus plan provides multi-DRM licence service along with client SDK support for mobile and OTT device integration that is both easier and faster. The client’s requirements serve as the primary consideration in developing the pricing structure.

The Monthly Active License (MAL) model is the pricing structure that is used throughout the industry the majority of the time for DRM protected content that is delivered via SaaS. It is the total number of licences that have been granted to a content provider in a single calendar month. Due to the fact that DRM licences have to be issued for each individual piece of content and user device, the MAL is proportional to the number of users as well as the number of times that users play the content. In spite of this overarching presumption, there are a few specific cases that contradict it. When the same content is played on multiple devices, a new licence is issued for each device; when streaming the same content multiple times, a new licence is also required for each playback (downloaded content can be played multiple times with the same licence during the licence period); and for services that package audio and video tracks separately, two DRM licences may be issued for each of them.

The MAL-based pricing approach, on the other hand, makes it difficult for consumers to make an accurate projection of DRM costs and leads to dramatically higher charges whenever there is a period of time during which the platform experiences a high volume of transient heavy traffic. As a result, a significant number of DRM service providers have recently transitioned to a pricing model known as Monthly Active User, which is both user-based and easier to comprehend (MAU). MAU refers to any individual who has played the content that was protected by DRM at least once during the given month. The player is prompted to obtain a DRM licensing from the DRM server whenever there is a request to play content that is protected by digital rights management. It is required that a one-of-a-kind userID be generated within the DRM licence request element. Other identification variables, such as device ID and session ID, can also be set for services that do not maintain user IDs. This includes the ability to log in. A minimum monthly price is charged for a specified number of users, for example 1000 active users, and an additional per-user fee is charged if the number of MAUs goes above and above the number that is included in the minimum monthly fee.