Looks like it uses the sane digital ink that b&w kindles/nooks use. The cords dangling below make them really impractical in a world were wireless mobile devices are what consumers want. There may be some practical uses for this tech (like larger sheets for blueprints or something) but overall this seems like a technology that is a little behind the times. .
I think the paperthin flexible screens are the advancement, along with the variety of info sharing tools. i can see a lot of ways this could improve collaboration where I work. I'm sure there is no intent to keep the cables.
I think the cables are connected to the actual CPU a well as power. The "paper" is just a display using NFC for sharing. You already see that in mobile devices like the Samsung GS3 and Note2. There are some nifty advancements but it's got a long way to go until it becomes truly practical on a large scale.