Archivist Rick Prelinger sez, "The U.S. Department of Defense has entered into a contract with T3 Media to get its gigantic still and moving image collection digitized at no cost to the government. In exchange, T3 Media will become the exclusive public outlet for millions of images and videos for ten years. Unlike most other developed nations, the U.S. Government does not claim copyright on video, film, photographs and other media produced by its workers. The immense number of works in the U.S. public domain have enabled countless researchers, makers and citizens to read, view and make many new works. True, those wishing to use modern military materials (1940s-present) in DoD's archives often need to negotiate their release with military public affairs, but these materials have traditionally been available for just the cost of duplication. This is soon to change."
In exchange for covering a share of digitizing and hosting costs (the government will pick up an unspecified share of costs as well), T3 Media will provide access to the government and receive a 10-year exclusive license to charge for public access to these public domain materials.
I contacted T3Media's communications manager who could only tell me that "the material will be available for licensing." Costs, procedures and restrictions are still undecided or undisclosed. T3 will possess the highest-quality digital copies of these materials and there is no guarantee that DoD will offer them to the public online when the 10-year window expires. It's therefore hard to know whether this contract will serve the public interest.