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Update: we've got a video of the new prototype displays, see below

PVI is now showing 6" and 9.7" color E Ink displays for e-readers at a trade show in Shenzhen, China. The displays are demoing animated color clips, although the refresh rate is not fast enough for video. PVI has shown those screens to Amazon and Barnes & Noble, although they won't say whether there are any plans to use them in future e-readers.

Color E Ink prototype

PVI predicts mass-production to start 4Q 2010. The new PVI screens add an extra layer of color-filtering glass on top of a standard E Ink panel. The color screens consume more energy than monochrome ones. PVI also displayed new flexible displays, made from plastic which could make readers lighter and harder to break.