I am reading the February 2011 issue of Cites and Insights by Walt Crawford. If you don't read it regularly you should. Walt is a good writer and has a good grasp of many of the issues facing libraries, especially related to technology.
On page 15, as part of a discussion about "Libraries: Not About Books," he expresses a very important concept which I am going to slightly paraphrase:
Libraries need to build their brand from books not by running away from them.That is a very, very powerful statement.