I posted this video to the meta blog this morning, but it is worth posting here because it relates not just to transformation of content, but also to ubiquitous access to words and sounds for everyone. Say what you will about Brewster Kahle's Internet Archive (and I have heard criticisms leveled about some quality and preservation issues) anyone would have to admit that he is doing it! Go Brewster.
I don't really know the practicality of the book machine being taken to developing nations to make books for kids, but I know many kids (and librarians) in Ecuador who would be so excited by the concept. Many kids there simply do not have books. Kids in the small pueblos have no hope of getting access to books. There are some workbooks in the schools, but to peruse the shelf to actually select something you want to read...unheard of.
Next summer we are planning a trip to a small jungle village that is near and dear to our hearts to make the final connections of laptops/solar panels for the schoolkids. If these kids could have access to the International Children's Digital Library - now that will be huge.