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"there are many different ebook formats out there, some locked using one of the proprietary DRM schemes, and so not every reader can be used to read every book, rather as if you got a new paperback home and were told that your particular type of lightbulb could not be used to illuminate its pages."
And that is the biggest issue for ebook devices. They should come with full-featured conversion software for popular formats (doc, pdf, lit, etc).
Devices should also support more file formats out of the box.
DRM protection is unfair restriction for the users.
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