A method of embedding data in material comprises the steps of: embedding data in original material to produce data embedded material; removing the watermark from the data embedded material to produce recovered material; comparing the original and recovered material to determine the differences and locations of differences therebetween; and storing the said locations and corrections which correct the said differences. A method of removing the data embedded in the material, comprises the steps of: removing the data from the material to produce recovered material; deriving the said corrections and locations from the said store; and using the corrections to correct the recovered material at the said locations. A method of embedding data in material, preferably comprises the steps of: producing transform coefficients Ci representing a spatial frequency transform of the material, and combining the coefficients Ci with the data bits Ri to produce a modified coefficient Ci' where Ci'=Ci+.alpha.iRi the method further comprising determining .alpha.i for each unmodified coefficient Ci as a function F{Cn}.sub.i of a predetermined set {Cn}.sub.i of transform coefficients Cn which set excludes the coefficient Ci.