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I think tablets will eventually subsume ereaders, just as smartphones are subsuming mp3 players. There will still be dedicated ereaders, just as there are still mp3 players and pocket calculators, but reading function will be included in more general purpose devices whose screen will evolve for long reading.
Remember those "word processors", sort of a typewriter with a bit of memory and two, three line display? They're called laptops now.
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