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EInk may or may not survive. It's the best available display system, but it's not perfect.
However, EInk doesn't make the Reader. They make dedicated readers with LCD screens even now, and if they develop a better display technology, I'm sure people will move to it.
Personally, I like multi-function devices, my cell phone has replaced my wristwatch. Having said that I don't think the dedicated reader will be replaced by the multi-function device as soon as some people think.
You see, multi-function devices work best when the functions are compatible - and one of the requirements for a good Reader is directly opposed to the requirements for a multi-function device. Other devices benefit from being smaller - Readers benefit from having a larger screen.
That one factor will keep people buying dedicated reading devices.
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