Did you hear about the
TxtrBeagle? It's an interesting idea.
Heard about it, talked to them about it, played around with it. As e-readers go it's
very bare-bones - not only can't you store books on it*, but you can't really do much with them once they're on the device; can't change text size, can't make notes, can't search within the book, etc. That said, it's ridiculously cheap, the screen itself is fine, and if they manage to get the deals they need to get it off the ground, I wouldn't mind having one for bringing to the beach etc. But it's not a substitute for a proper e-reader.
* The device doesn't actually read EPUB files, it just reads images of EPUB files that are sent over from your phone by Bluetooth. Since these are pretty big, it can only hold 3-4 novels at a time.