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That's not the same thing as saying you can't buy an ebook for the purpose of giving to the library.
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You can't gift a Kindle book to a public library. That book would have a non-commercial license. I'm not talking about giving a book I've bought for myself to the library. I'm talking about using Amazon's Gifting option.
I've no idea of the process a public library uses to buy the digital books they offer. But I'm sure they are not buying them from Amazon in the same way a Kindle customer does.