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It is the latter. Only the output is restricted. The material belongs to you.

So then what's the problem?

There appear to be two complaints:

1) Apple hasn't made clear enough that by using "iBooks Author", the only distribution channel you can use is Apple (de facto in that you must pay them, regardless of how you distribute).

2) There is disagreement that this is a good direction at all.

Point #1 is the one made by the author of the submission. With regard to point #2, I feel that Apple should be free to do what they want with their platform. I also feel that people should be free to openly disagree with them.

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