I've read in B&W on a couple of Palm models, and in color on an Ipaq and Dell Axim, and now B&W again on a Sony PRS-700.
Color?
Couldn't care less. Haven't noticed the lack, even coming from a color Windows Mobile device.
Resolution? Contrast?
E-ink looks fantastic, and I consider it an upgrade (for reading) from the VGA display I had on the Axim.
I wouldn't say that an ereader sized computer would be BAD....but I'm sure enjoying having a dedicated reader that's comfortable to read on. I woulnd't mind seeing a couple of applications on the readers (crossword puzzles, Infocom-style text adventures come to mind), but I really wouldn't want to go back down in size to something iPhonish again.
I admit I drool a bit over the Plastic Logic specs.....I'd love to read comics on the larger screen. For travel though, the current ereaders are a great size.
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