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Today I tried again to run the Kobo PC software and was told that a "critical update" was required.
I duly installed this and upon restarting Kobo PC found that the software still refused to display the books that I have purchased but invited me to buy new books.
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There should have been two options displayed when the Desktop Application finished installing. 1) Sign In To Your Account and 2) Shop for New EBOOKs. You have to sign into your Desktop Application in order to see your Library. Have you done this?