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Format shifting and/or DRM stripping may not be legal where you live, but LIT and MOBI and eReader ebooks with DRM can all be converted for use on the Sony Reader. The most common approach is to buy LIT, use ConvertLIT to strip the DRM and then use Calibre on the DRM-free LIT. This is because LIT is the best of the three formats for archiving and format shifting. If a book is only available in MOBI, then mobidedrm will strip its DRM and Calibre supports DRM-free MOBIs.
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