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EuropeGermanyIn the first half of 2013, book sales in Germany saw a slightgrowth of 2.5% (Branchen Monitor Buch, July 2013). However,for the preceding two years, German book salesshrank to 9,520 million Euros (from 9,601 million in 2011),according to the annual statistical report of Börsenverein,the German publishers’ and booksellers’ association. (Buchund Buchhandel in Zahlen 2013) Hardest hit were the traditionalbook chains, with a loss of 3.7% (buchreport, January10, 2013).Ebooks meanwhile, developed into a sector of significantgrowth. Overall, the market share of ebooks has been estimatedat around 10% by mid-2013, representing frequentlyeven 8 to 10% and more for new releases. 84% ofall German publishers currently offer ebooks or plan to doso soon (according to a survey from Börsenblatt, June 7,2013).An in-depth analysis of the survey findings point at a wideninggap between the struggling traditional chain bookstores on the one hand and the leading online platforms,which account for an estimated 16% of all book sales, onthe other hand, with those online platforms also in controlof ebook downloads.Amazon is estimated to own roughly half of the Germanebook market, followed by the Tolino alliance of the twolargest book chains, Thalia and Weltbild-Hugendubel at34%, and Apple at 10% (according to Libreka’s CEO RonaldSchild, in an estimate for this report). As a result, 90% ofGerman publishers consider the consolidation to pose arisk to the entire traditional book business (quoted fromthe Börsenverein and GfK survey in buchreport).The role and impact of Amazon and its market force inGermany was at the center of several debates in both professionaland general media in the country. In Bad Hersfeld,at Amazon’s largest logistics center in Germany, unionsand the management clashed several times throughout2013 over wages, resulting in several strikes, as well asAmazon’s policy of avoiding taxes in large European marketsby transfetring profits to European headquarters inLuxembourg were critically discussed in German media(Der Spiegel, July 20, 2013, and FAZ, July 12, 2013).Independent booksellers as well as chains responded withseveral initiatives of their own. A “buy local” campaign hasfound support from over 90 retailers and was broadly echoedby the media (Börsenblatt, March 13, 2013).The two largest book chains chose to attack Amazon withtheir own reading device, branded the Tolino. The consortiummade of the book chains Thalia, Weltbild-Hugendubel, together with Bertelsmann’s Club and DeutscheTelekom, as technology partners introduced their firstdevice in March 2013, taking aim at Amazon’s Kindle Paperwhite.At €99, the Tolino sold clearly below Amazon’s€129 device. Backed up by a catalogue of 300,000 titles atThalia, and 500,000 at Weltbild, the declared goal for 2013is a market share of 36% in the German device market, amark that reportedly should be met by the end of the year(Buchreport, June 17, 2013).Competition over ebooks and devices was however onlypart of the opposition to Amazon, chain stores, and independentsin Germany in 2013.Thalia had put significant efforts into a restructuring planto cut down on its losses from its overall business, whileearlier efforts by mother company Douglas to sell off thebook arm did not bear fruit. Altogether, it cut down its salesfloor by 8,000 square meters to 239,000 by March 2013.(Buchreport, May 15, 2013)At Weltbild, earlier turbulences over the group’s strategyand future among its owners -a consortium of Catholic26 The Global eBook Report