Killing off? No, I don't think so. There will always be people that want a dedicated device with a long battery duration that isn't difficult to use. And it's much easier to use a dedicated device than a generic device that runs several applications.
But netbooks and UMPC's will become more and more in use by electronic readers (aka, people that read electronic books). I also think e-ink (or similar techniques) will become more wide-spread and not only in dedicated devices.
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