There's some truth to the article. With social media, Netflix, and other mediums competing for attention, people simply have less time to read nowadays. Casual readers who were unlikely to buy a Kindle type device anyways, will just read on their smartphones and tablets. But dedicated readers will always be around and its this crowd, no matter how small they may be, for whom e-readers were intended.
I do think e-readers, if designed and marketed properly, could make inroads with the public. Kobo will have an opportunity to do so with their new partnership with Walmart. A $50 or so tablet with a 5-6" screen would be a big hit.
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