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On a personal note:
I went through several ebook and tablet devices with high res color screens and android based OS underneath looking for a good viewer for comics/mags. After settling on what I have now, I realized that these devices are no good for your basic average everyday "just sitting around and reading a book" activities.
I ended up also getting an e-ink type device for actual ebook reading. The battery life, ease of viewing pages in ambient light/sunlight, and weight difference in a heavier tablet style device make all the difference in the world.
I don't see an all-in-one device out there right now. I think the fluctuations in sales are merely waves of different users buying the latest and greatest as they come out. "Battle of the new ebook readers" vs "battle of the new tablets" vs "battle of the new ultra-portable netbook" vs "battle of the latest i-device".
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