I asked about that when I heard it was "coming out" a while ago. Apparently, it's like an augmented reality game, but with books and no gameplay - just story. Cool concept, but I don't see it changing anything in a significant way, especially with the cost of it.
Usually people who want to get their young kids into reading would be more likely to pick up a few cheap books, not something that might cost (ballparking it off my head) $50 - $70. I mean, it doesn't take much effort to just read to your kid yourself and whatnot.