As interest in digital books mounts, the government is moving to level the playing field for domestic e-book retailers by ending current tax advantages their foreign competitors enjoy.
Although Japan's e-book business is still in its infancy, the nation's gadget-loving consumers appear eager to try out such products. In July, online shopping mall operator Rakuten Inc. started an e-book downloading service through a Canadian subsidiary, Kobo Inc. The Kobo Touch e-book reader is priced at ¥7,980.
The company revealed a plan in early August to expand its lineup of digital books to 200,000 titles by year's end and to 1.5 million in the next few years, as it is a "highly profitable business," Rakuten President Hiroshi Mikitani said.