Digital book distributor OverDrive has a new iPhone app coming out and the above video is a preview of it. OverDrive currently has an audiobook iPhone app, but the new one will work for eBooks and audiobooks.
The new app lets you find nearby libraries to link to the digital catalog for the library, so you can download books from your local library directly to your phone.
The app is currently slated for release in early December. It will support OverDrive-supplied ePUB files and OverDrive MP3 audiobooks. OverDrive also has plans for a new iPad app and an Android app to follow these