I've noted in the past that Secretary Duncan's language around open content sounds like little more than free R and D money for textbook developers.
And, it turns out that there is a catch to this current round of funding. All content must be SCORM compliant. You can see the requirement spelled out on pages 4 and 8 of the Solicitation of Grant Applications (pdf download).
In short, all the content that is developed will be locked in an outdated, unevenly implemented standard, making reuse and recontextualization far beyond the reach of most schools, and certainly beyond the reach of most individuals. Textbook publishers and large corporations, who will be able to consume SCORM content, will be able to modify the content slightly, claim a derived copy, and - aside from attributing the original source - the content will no longer be freely available.
Hat tip to Stephen Downes for highlighting this information.