Looks like the rumors were true, Barnes & Noble announced the Nook e-book reader. The nook reader comes with a pair of displays, the top will have a 16-color e-ink screen while the bottom gets a full color 3.5-inch touchscreen LCD display. Similar to the Kindle, the Nook will have 3G and Wi-Fi connectivity, 2GB of memory, microSDHC slot, audio player, and a loaning feature to share books with friends with similar devices.
Look for the Nook in November for around $259, I wonder if Amazon will carry this gadget, doubt it.