Yah, just like computers have been ruining writing these past couple of decades. Children can barely write cursive if at all.
Then one could argue its usefulness. Schools originally taught it as a faster way to write. Also so that children could read useful material that is only written in cursive. Computers have eliminated the need for both of those arguments. It is much easier to type and cursive material has been rewritten in typed-text. Cursive is a depreciated skill.
Just like novels inspire imagination and creativity, their usefulness is dimming. Facebook, twitter, yourtube, etc.. These are all just mediums of expression and creativity, which strive imagination. The only difference is that anyone can produce it for the world, not just established writers. No need to write a book to express yourself anymore, and it is far more interesting to see real experiences than it is to read a fake one that only exists on paper. What is wrong with that?
Devices like the Kindle and iPad aren't ruining reading. They are eliminating the purpose of reading for recreation. People still read all the time. People still read news and educational material. People still develop their reading skills. New age devices aren't ruining the purpose of reading. We just don't need them to entertain us anymore. That is what these interactive reading devices do.
Besides, as far as picture books, go, I don't know the last time I saw a 3 year old read a 400 page novel. Those picture books aren't designed for adults. They are designed for children who have not fully developed reading skills and imaginative thought processes yet.