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I think the points been made in many of the replies - the existence of free downloads isn't an issue, it's the very concept of eBooks that would pose any threat to paperbook sales. If you are an e-format supporter, you will buy or download free rather than buy paper, period.
The level of impact eBook sales have on paperbook sales is still to be seen - it must have some, but I think at the moment it's still early days.
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