News Releases

Oct.31,2016

 

Information Technology

DNP and TRC in Capital Alliance with Japan Digital Library Service

Will provide popular contents to digital library

 

Dai Nippon Printing Co., Ltd. (DNP) and TRC Library Service Inc. (TRC), a DNP Group company, entered into a capital alliance with Japan Digital Library Service Co., Ltd. (JDLS) on October 31, 2016.
JDLS was established as a result of investments from Kinokuniya Company, Ltd., Kadokawa Corporation (Kadokawa), and Kodansha Ltd. (Kodansha), and receives e-books from numerous leading domestic publishers, and aims to market a broad genre of fun, quality e-book contents to digital libraries. The DNP Group will cooperate with JDLS, and in conjunction with Kinokuniya Company will accelerate the spread of digital library services to public and university libraries.

[Background]

DNP commenced the provision of digital library systems in 2010 in conjunction with two DNP Group companies; TRC, which maintains a large share of public library outsourcing, and Maruzen-Yushodo Company, Limited., which has strengths in the university library field. From 2014, in cooperation with Nihon Unisys, Ltd (Nihon Unisys), DNP launched a cloud-based digital library service, which as of September 2016, when combined with public and university libraries, is used by approximately 50 local authorities and universities.
MobileBook.jp Inc. (Mobile Book) is a DNP Group company engaged in the distribution license business for e-books as titles available under the new service, and has a lineup of approximately 25,000 titles under license from publishers, mainly literature, business, language learning and specialist fields.
As a result of this latest capital alliance, by adding to existing lineups, new titles in which  JDLS has strengths, such as new fiction, young-adult fiction, and topical manuals, the DNP Group will promote the adoption of the digital library service not only to public and university libraries, but also to those at junior-high and high schools.

[New Digital Library Service]

It is important to provide titles that consumers wish to read in order to promote the further penetration of digital libraries. JDLS operates, LibrariE, an original digital library service, designed in the interest of copyright holders, including such activities as limiting viewing frequency and periods. At the same time, JDLS is promoting efforts to provide highly popular contents to consumers.
In cooperation with publishing companies beginning with Kadokawa, and Kodansha, which are also shareholders in JDLS, the company has also developed a lineup of attractive contents, including young-adult fiction, which is popular with younger consumers. As a result of this capital alliance, by adding the JDLS digital library service and contents to its existing lineup, the DNP Group will boost benefits to the consumer. Approximately 40,000 titles will be available following the addition of the newly provided titles from JDLS.
DNP will also aim to accelerate the spread of digital library services, by providing JDLS with a license for the DNP digital library service and by further deepening cooperation between the partners.

[Investment Summary]

Total investment: 110 million yen (via a third-party new share allotment taken up by DNP, with 20 million yen, and TRC, with 90 million yen)

Capital contribution:

DNP     25%
Kinokuniya Company, Ltd.     25%
Kadokawa Corporation     25%
Kodansha Ltd.     25%

Date of investment: November 4, 2016
Corporate officers: One director and one auditor to be seconded from the DNP group

[Looking Ahead]

DNP aims for sales of a total of 80,000 titles, and adoptions of the digital library service by 200 local authorities by FY 2018.
Looking ahead, the DNP Group will take advantage of its strengths in printing and information technology and focus on operations targeting libraries, beginning with the digital library service. The Company will also contribute to the further development of libraries as a knowledge infrastructure.


* Product prices, specification and service contents mentioned in this news release are current as of the date of publication. They may be changed at any time without notice.