OverDrive, Inc.

OverDrive, Inc.

Company type	Private
Industry	Digital media distribution
Founded	1986 (1986) in Cleveland, Ohio, United States
Headquarters	Garfield Heights , United States
Area served	Worldwide
Key people	Steve Potash (CEO)
Products	Libby app, Kanopy app, Sora educational platform
Owner	Kohlberg Kravis Roberts (KKR)
Website	company.overdrive.com

OverDrive, Inc. operates as a worldwide distributor specializing in digital content such as ebooks, audiobooks, online magazines, and streaming videos. The company manages digital rights and facilitates download delivery services for a diverse clientele including publishers, public libraries, K–12 educational institutions, universities, corporations, and the legal sector.

Recognized as the largest commercial supplier of digital media globally, OverDrive commanded an estimated market dominance exceeding 90% in 2023. Its primary offerings feature the Libby app for ebooks and audiobooks, the Kanopy app for video streaming, and the educational platform Sora.

History

Established in 1986 in Cleveland, Ohio, OverDrive began by converting analog media into digital formats such as interactive diskettes and CD-ROMs. The launch of Content Reserve in 2000—a digital repository—served as the cornerstone for its digital content distribution services.

Initially distributing ebooks to online retailers before concentrating on library markets, OverDrive was chosen in 2002 to handle HarperCollins’ ebook distribution and later developed web stores for Harlequin Enterprises in 2005. By 2008, it was providing download services to Borders Books.

The company broadened its portfolio by enabling Kindle public library lending in 2011 and rolling out browser-based eReaders along with audiobook streaming capabilities in 2012. It also created a media station tailored for library digital collections and offers an API to integrate content across multiple platforms. Notable partnerships include LexisNexis for legal digital libraries and Nokia to deliver eReading applications on Lumia devices.

In 2014, OverDrive completed construction of its headquarters located in Garfield Heights, Ohio. The company was acquired by Rakuten for $410 million in April 2015; CEO Steve Potash remained at the helm while the OverDrive brand continued under Rakuten USA.

Private equity firm KKR purchased OverDrive from Rakuten in June 2020 with an estimated valuation of $775 million. Within the same year, OverDrive expanded its assets by acquiring RBMedia’s library division, including the RBDigital platform, consolidating related media holdings under KKR.

In July 2021, OverDrive ventured into streaming video by acquiring Kanopy, a prominent on-demand service catering to public and academic libraries.

By March 2023, OverDrive announced plans to retire its main app by May 1, transitioning users to Libby, which supports access to digital books, audiobooks, magazines, databases, and streaming media across public, corporate, and academic library systems.

Connection to local library

According to the 2023 report from the American Library Association on the Digital Public Library Ecosystem, younger demographics using apps such as OverDrive's Libby frequently remain unaware that these services are funded by their local libraries.

Data privacy

The same report raised concerns about unclear data privacy boundaries regarding what information Amazon might collect from books accessed via the Kindle app through its partnership with Libby.

State funding

In March 2025, Missouri Secretary of State Denny Hoskins halted state funding for OverDrive’s presence in K-12 school libraries amid an investigation into allegations concerning "inappropriate materials accessible to minors." In response, the Missouri Library Association stressed that school librarians oversee student access and have the ability to restrict content based on age within OverDrive’s platform.

See also

• Adobe Content Server
• Axis360
• Digital library
• Hoopla (digital media service)
• Publishing