e-paper is still a new idea. Yes, it's been out for a few years, but it is still in its infancy. The newer LCD readers and such have had many years to hone the technology.
Sure, you can find a 6-inch LCD reader, color, with good battery life and a ton of other features. But it's not idea for reading.
The new epson controller might enable a greater breakthrough about reflowing text (I'm unfamiliar with how this works, so I might be talking out of me arse).
There is still much to be done with this technology. I wouldn't discount it too quickly.
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