The best books based on blogs are to be recognised in their own literary prize.
Prominent blogger Doctorow will head the judging panel
Dubbed the Blooker Prize, the annual award will reward the best writers of literary works that started life as online journals.
Prominent net activist Cory Doctorow will chair the judging panel and the author of the winning Blooker will get a modest cash prize.
The Blooker's first shortlist will be announced in March next year and the first winner in 3 April 2006.
As blogs and bloggers have risen to prominence, many have used their new-found fame to turn then regularly updated online journal into an old-fashioned book.
Bob Young, head of on-demand publishing firm Lulu, said the Blooker will seek to find the best of this new trend in literature.
"Blooks are the latest landmark in the history of books", said Mr Young.
"They are a new stage in the life-cycle of content, if not a whole new category of literature, with its own creative process and emerging literary style."
More than 100 blooks have already been identified as potential candidates for the Blooker prize.
Some of the blogs turned books keep their epistolary style and retain the episodic format seen online. Others turn the basic information gathered on the web as the starting point for a new work.
Prominent blogs to books include the notorious Belle de Jour which is the diary of a prostitute; Salam Pax which brings together eye-witness accounts of the Iraqi war and actor Wil Wheaton's Just a Geek memoir.
Chief judge Doctorow said the unification of book and blog has also seen the emergence of a new creative style.
"Blogs encourage their authors to publish in small, partially formed chunks," said Mr Doctorow.
"Previously, such jottings might have been kept in the author's notebook but something amazing happens when you post them online. Readers help you connect them, flesh them out and grow them into fully-fledged books or blooks."
The Blooker will be an annual event and reward the best blooks in fiction, non-fiction and comic blook categories.
The prize fund for the category winners and an overall winner is £2,000. Each category winner will get £565 and the overall best work will get an additional £1,130.
On the judging panel Mr Doctorow will be joined by Robin Miller, editor-in-chief of online technology publisher OSTG and Paul Jones, director of the Ibiblio online library and archive site.