We have been hearing about color-screen Kindle for a few months now. In fact, Amazon was testing color Kindles last year. Analysts claimed at the time that Amazon simply failed to find a way to offer color screen on Kindle and keep the prices low. But there are a lot of rumors on the Internet about Amazon adding color E-Ink technology to Kindle 3.0. The details are sketchy about what Amazon plans to do with Kindle 3.0 (which is expected to be released later this year) and Kindle 4.0, but the gadgets that are already using color e-paper technology give us a glimpse into Kindle’s future.
A lot of people have given Amazon Kindle flak over the past few months for not properly supporting color e-books. It’d be hard to see what these folks will complain about once Amazon implements that feature. I do believe that e-books will have to compete with v-books (video) in the near future. So in the end, color E-ink technology may not be that much of a game changer. But it will still be a nice feature to have on future e-book readers.