Children are remarkably receptive to new technology and are very quick to pick up the nuances of usage. If they are reading something on a touch screen, the learn to follow along without actually touching the screen. We use Smartboards in the schools in our county and the kids are very adapt at using them. As an elementary educator, I can see a great many advantages to using ereading technology once it gets to the point where it is actually usable. Unfortunately, it's not there yet. Larger displays (like the DX) and color would be a necessity at the elementary level. Therefore, something along the lines of a simplified tablet netbook or something along the lines of Microsoft's Courier (if it ever actually hits the market) would work well. I wouldn't think an e-ink display would be needed because children don't tend to stay on one task long enough to have to worry about eyestrain.
When I first started teaching, it was a novelty to have one computer in the classroom. Now most classrooms have several or a complete computer lab where the kids "play" interactive learning games, research material, publish stories, etc. Computers and digital technology have definitely changed how children learn and teachers teach. Digital books will just be the next step.
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