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The biggest reason for the failure of HTML would require a full explanation of the concepts of "semantic markup" and "structural markup" (as well as discovering along the way why XHTML isn't much better, and why DTBook is a better choice for ePubs).
After that, you could branch out into the rest of the ebook format wars, why ePub is just the most recent buzzword in the eBabel marketplace, as well as corporate influences (like Amazon giving the appearance of killing of MobiPocket) ... should keep the conversation alive for a few days ... or weeks ...
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