But I also don't know why they aren't more explored. Grayscale ones would make for excellent e-readers. And you can always make the bottom layer both reflective and emissive, making the thing work well both outside and in a dark room.
My guess is that LCD just standardized on a level of quality, and you won't get anybody producing anything different.
At the time quite a few other e-paper screen technologies popped up which had much faster response times than E Ink's electrophoresis displays (Liquavista, Mirasol) and some even had (in theory) better potential to make subpixel-free color screens possible. Unfortunately none of them could quite match the contrast (and perhaps price?) of E Ink's monochromatic screens. Which was fatal, as e-readers were the main application of those screens, and those really only require a black-and-white image. So the other technologies were abandoned.