Pole position in Japan's home printer market changed hands in 2004 for the first time in eight years, with the two principal rivals in the sector pursuing starkly contrasting product strategies.

Seiko Epson Corp., the longtime market leader, betted heavily on multifunction printers, which proved popular during the vital yearend shopping season. Still, it lost out to Canon Inc., which stuck to print-only conventional models.

Epson expects multifunction demand to increase this year, while Canon remains skeptical.