Quittner dismisses Kindle (in its present iteration) as a savior of magazines because it doesn't do color illustrations. Likewise, the upcoming Plastic Logic larger screen model has more space but it's a) not here in gray-scale yet, and b) won't be out in color for even longer. Instead he hails the growth of new ways to display documents using Adobe AIR, which allows "browser-less" display of documents on computer screens.
It seems to me that still misses the point of e-readers. They have to be highly portable! Although I do think he's right that magazines and newspapers have different challenges from books. In a book, it's the text that matters most.