Since I am in the market for a phone at the moment ( no contract) I looked up what this one costs. Its $600
. Its not comparable to a e-ink reader, nor is it going to make anything obsolete. My basic kindle cost me $50, even the PW can be had for $119.
Gadgets can coexist. One doesn't make the other obsolete.
I don't think a 5 inch screen would be enough for reading for me anyway. I think the 6 inch is about minimum for me to fit enough text on a page.