Can anyone elaborate on possible benefits of flexibility of such a device? I can't really think of any. I'd guess it would be very problematic to control such a touchscreen without something solid behind the device.
There are are techniques to create flexible PCBs. The individual ICs/components themselves are still solid but the circuitry around them can be flexible. It is currently only used in military/speciality applications to my knowledge but it has existed for a long time.
You can also make an average IC _much_ smaller than it currently is. The actual IC in most packages is tiny compared to its packaging. Its really just a matter of time and market demand till they become substancially smaller. The only components that are size sensitive are those that dissipate a lot of heat which will improve with manufacturing process improvements and passive components that need volume for their function (10uF capacitor).
I don't know why everyone is so obsessed with being able to wad up the display, but glass-subtrate e-ink displays are incredibly fragile.
A reader that can bend a few degrees without shattering, and survive getting poked with sharp things and hard impacts, and can generally be abused the way a paperback book can would be really handy.
I'm still waiting for a computer I can roll or fold up and stick in my pocket.
Speaking of computers in your pocket, maybe these tablets should be slaved to my phone. I would be okay with a small hard section for a bluetooth connection to my phone, over which I can send data to view, possibly including some code for parallel processing. I guess we need pretty high-capacity flexible batteries.