Tracey Caldwell's recent "Scan and Deliver" article examines the copyright challenges that the British Library faces in its digitization program (e.g., copyright issues have to be considered for works going as far back as the 1860s). It also mentions the impact of the shutdown of Microsoft's book digitization program on the British Library (digitization costs were shared 50-50 with Microsoft).
It is good to see the BL grappling with the obstacle that copyright has become to information access.
But at the same time, look at the BL’s site. Whatever it is digitising, it isn’t making it available online to the public. It’s our money they’re spending… for themselves, apparently.