Due to the fuzzy policy, the industry of cyber café in Taiwan has significantly presented to an atrophied situation since 2004. The industry rises and falls a slope which presents a dissimilarity result to that in the neighborhood nations, such as China, Japan or Korea. What is exactly the struggle in this industry in Taiwan? How to transform it? The thesis searches for the overall environment, the battle for Taiwan¡¦s cyber café, and the transformation strategy for the operators in the cyber café. This research adopted case study method in order to submit an entire analysis via a certain chain of Internet Café and the environment this industry has faced. It is the fact that the most competitive predominance is the ability of creativity and development in this case study recommended two suggestions. One is to adopt the Product Expansion Strategy for short-term, referring to expand a wide variety of products and augment the service. The other is to select a Market Development Strategy for long-term, taking advantage of the cyber café core system and its business model experience to expend the market of Southeast Asia. In competition, it is to use the Differentiation Strategy that makes its service be distinguished from the others and suggest the case study integrate its six new typical entertainments, Digital game, Digital Video, Digital Carol, E-learning, Digital Archives and Digital Read, into multiple services contributing to explore more consumers. It is expected that the Digital Content Entertainment Learning Center, transformed by the case study, combining the strength of its technical integration and its chain with the Digital Content the government promotes, is not only to enhance the positive value of cyber café in our society, but also to assist others cyber café to revise a business management so as to build up a blueprint for cyber café industry.