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Pretty much BS in my opinion. Factors that don't seem to be mentioned in the article are:
1) no used ebook market so ebooks can only kill the used pbook market if people buy new ebooks instead of used pbooks.
2) new ebook prices remain substantially higher, on average, than used pbook prices. Most people follow their pocketbooks so it's unlikely they'll buy new ebooks rather than used pbooks.
3) due to copyright extension fewer & fewer books are entering public domain so I don't think public domain books form a significant part of the used pbook market. I agree that ebooks will probably kill whatever part of the market PD does represent but I don't think it'll have an impact on the market as a whole.
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