In order to understand the current situation of Taiwan's newspaper and to provide a vision for future development, this research discusses the differentiation and relative advantage of e-newspaper and it's difference from traditional newspaper in Taiwan. The research studies an outstanding e-newspaper, ”China Times,” in the market to further discuss and probe the difference of news' themes and categories between e-newspaper and traditional newspaper based on the niche theory. The result indicates that, although e-newspaper has been developed for several years, its growth is too slow and fails to develop its own advantage. Traditional newspaper outperforms e-newspaper in the niche breadth, the niche advantage, and the degree of niche overlap is high. In a nutshell, e-newspaper still has a long way to go in building its own character for content.