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It's not so much a price slash as it was a temporary rise, I think...
I think contrast is about the same on all current generation eink devices. There are some minor variations both between devices as well as in the same product. Not much that matters though (you can only barely make out the difference if you have two devices side by side).
I'm hoping we'll see improved contrast with the next generation of screens but I'm not sure if the eink technology allows much improvement there or if it needs to be a different concept altogether.
LCDs have better contrast but between backlight and slightly sub-par contrast, the contrast is the lesser of two evils to be sure. Given proper lighting conditions the ereaders work just fine the way they are...
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