Amazon bought Touchco, a small company known to make incredibly cheap multi-touch displays. The story behind this that really makes sense is the possible full color Kindle Touch in the making.
The totally transparent (designed for full color LCD) Touchco’s touchscreen is incredibly cheap with less than $10 a square foot and use interpolating force-sensitive resistance display technology. It can detect infinite simultaneous touches and its pressure sensitive.
Right now Kindle E-Ink is taken under by iPad along with its iBook and iBookstore. So I think the possibility of full color Kindle Touch is gladly welcome.