I went to the site to check it out. Basically, Scribed is a little like Lulu.com without the money (or the paper books). Authors post their work; the site makes it readable. A lot of the works there are posted by publishers, as web-based chum, to draw in readers. An example is ccfinlay's new book from Del Rey, The Patriot Witch. When you launch it on Scribed, you get a nice, pretty "i-paper" copy on screen.
So, reading isn't dead, it's merely evolving, just like publishing.