EBook has been a very hot topic recently since the success of Kindle from Amazon, which combines the three key characteristics: (1) a reader that is suitable for reading eBook content, (2) wireless communications for simplicity and convenience, and (3) a rich and attractive content line-up. The trend of eBook has extended to outside of the most matured U.S. market into other parts of the world. In the booming of eBook industry, many of Taiwan’s IT firms are benefited from the global hardware demand of eReader since Taiwan has the core upstream technology and reader device innovation along with OEM capability. However, the eBook industry hasn’t fully developed yet in Taiwan. There isn’t a firm like Amazon who provides a total solution to customers. The uncertain business model and unclear positioning of industry players also dragged down the development of eBook industry. This research analyzes the U.S. eBook industry and Taiwan’s current eBook environment to come up with recommendations for the potential eBook industry players and the projection of eBook development. In the conclusion, this research foresees huge demand potential from Chinese eBook market where Taiwanese IT companies have competitive advantage in eReader production. The research also identifies professional books and educational filed as big potential markets for eReader with requirement on wireless and plentiful content. Smart phone may possibly dominate eBook market for mass consumers in Taiwan. At the end, the research projects a reconfiguration of roles in the book business where authors remain essential and publishers need to transform. In the long term, eBook industry business model may continue to evolve with change on key players.