Given that the firm supplies Amazon's current E-Ink Pearl displays and has now had time to perfect production of its E-Ink Triton colour panels, this report certainly doesn't feel far fetched and we may soon see Kindles capable of displaying 4,096 different colours.
Amazon's new color e-book readers will be built with multi-touch
capacitive touch panels instead of infrared touch panels used in the
previous mono-color e-book readers, the sources noted.
Now that's excited.