  The Internet as a whole does not use secure links, thus information in
transit may be vulnerable to interruption as well. The important of reducing a
chance of the information being detected during the transmission is being an
issue in the real world now days. The Digital watermarking method provides for
the quick and inexpensive distribution of digital information over the
Internet. This method provides new ways of ensuring the sufficient protection
of copyright holders in the intellectual property dispersion process. The
property of digital watermarking images allows insertion of additional data in
the image without altering the value of the image.In this paper investigate the
following relevant concepts and terminology, history of watermarks and the
properties of a watermarking system and applications. We are proposing edge
detection using Gabor Filters. In this paper we are proposed least significant
bit (LSB) substitution method to encrypt the message in the watermark image
file. The benefits of the LSB are its simplicity to embed the bits of the
message directly into the LSB plane of cover-image and many techniques using
these methods. The LSB does not result in a human perceptible difference
because the amplitude of the change is little therefore the human eye the
resulting stego image will look identical to the cover image and this allows
high perceptual transparency of the LSB. The spatial domain technique LSB
substitution it would be able to use a pseudo-random number generator to
determine the pixels to be used for embedding based on a given key. We are
using DCT transform watermark algorithms based on robustness. The watermarking
robustness have been calculated by the Peak Signal to Noise Ratio (PSNR) and
Normalized cross correlation (NC) is used to quantify by the similarity between
the real watermark and after extracting watermark.
