Kobo started off as a small ebook retailer in Canadia but due to it’s potential, Japanese giant Rakuten purchased the company.
Google created a business which allowed you to purchase eBooks from independent stores through Google Books. The intention of the service was to allow independent bookstores to market their products in the world of digital books. The service however, did not have the success that Google had hoped for and so they decided to shut it down.
Kobo decided to take on the eBook service and provide independent book stores the opportunity once again to sell their wares. The result was a huge amount of success with bookstores selling more on Kobo in a month than they did in two years with Google Books.
Bookstores believe that one of the keys to their success is the fact that they could sell the reading devices with the books.