Here's a video showing one of the first readers with color e-ink. (Meaning it's not a backlit screen, it's reflective.) It is slow, and the colors are muted, but I guess it's early days. I don't know what the top potential is for reflected color on screen. In theory the limit is what printed color can reach, and that should be quite sufficient, but we don't know if or when that ideal may be approached.
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