Final answer...
1 - Eink devices will
not be totally run out of the market although they will play a much smaller role similar to PDAs today (you can still find one if you wanted but why would you want to?) (ETA: 5-Years)
2 - LCD screens such as Pixel Qi will be incorporated into many of the netbooks that are released and will capture a huge portion of eInk's potential market, they will have better battery life, ability to switch between color and B&W and have full O/S' giving people the ability to run any software they want to read their books and do whatever else they want to on a laptop. Multitasking is the only way to go (ETA: 12-18 months)
3 - Pixel Qi type screens will later be incorporated into touch screens, making tablets which will punch holes in the eInk sails leaving them paddling with their hands (ETA: 18-24 months)
4 - Amazon will eventually sell their ebooks for all devices and become the hub for eBooks, if they do not which will be a disaster for their company Itunes
will and Apple will do a little jig (ETA: 18-24 months)
5 - Consumers will be overjoyed and people will run into the streets crying and hugging eachother as they read on their new and improved laptop screens, we will come the closest that humankind as ever gotten to and will ever get to having world peace. A lone person releasing a silent fart will disperse the crowd and end the moment (ETA: 24 months; Ending: 24 months and 15 minutes)
eInk device are not going to get enough volume to bring their prices down to what they should be ($50-$100, factoring in that you need to buy books for it (I'm sure someone must be) and that it is not a multifunctional device (if they can get some sort of note taking ability in there that works amazing like a Livescribe pen then maybe they can talk turkey. Mainstream people will not pay $400+ to read books when we use computer screens all the time). A netbook with a Pixel Qi screen at $400 is a much better deal than a Kindle or any other ebook device at $400 because you can use it in so many other ways. The portability and ease of reading on eink devices will keep them on life support until good power saving LCD tablets can come out and violently pull the plug out while shaking its head at eInk
Publishers will eventually be forced to release their books as eBooks at competitive rates as they get served with the iTunes effect of everyone just getting their books for free, they need to get on board now before the ship leaves the port. You can't be half pregnant, their prices imply it costs as much to create an eBook as it does for a paperback book and that is not true unless they have the most inefficient computers known to man. The record industry learned this the hard way and it seems publishers will as well if they try to fight supplying consumers with what they want.
Overall it will be a plus for consumers as there will be multiple devices available that can be used to effectively read books giving people what they want Choice!!
End of discussion