Samsung has bailed on the e-paper reader market, citing the display costs as being too expensive. Electronista reports that this doesn’t mean they are completely out of the business though, as they are still planning on producing an e-book reader that uses an LCD display instead. You’ll remember that we showed you the a new Samsung reader that was announced at CES ealier this year, but it never shipped due to being priced out of the market.

No one has seen the new Samsung reader yet, but company reps are reporting that it should be sometime next year. We’ll probably see one at CES 2011.