Yeah, I don't think the telecoms like the beagle anymore than I did; that's going to be a problem. This device is designed and intended to be sold along with a new smartphone as an accessory; it can't even load ebooks without the files being sent from txtr's Android app (and that requires Android 4.0).
I foresee people buying the beagle, realizing they don't have a compatible smartphone or tablet, and then returning it. The inevitable buyer confusion is going to make this a fiasco, and if txtr is choosing to go with retail anyway they are either fools or don't have any other choice.
TBH, I think hardly anyone will buy the beagle now that it is no longer the cheapest ereader or the smallest ereader or the lightest ereader (the Pyrus Mini wins on all 3 counts) nor even a real ereader. There are better ereaders on the market that offer more bang for your buck.
Here in the US you can buy the Kindle or the Nook Touch for the same price as the beagle and get a much more capable ereader. And in Europe you can buy the Trekstor Pyrus Mini, an ereader with a 4.3" screen that is both lighter, cheaper, and more capable than the txtr beagle. I have a Pyrus Mini myself, and like I wrote in the review it is not a bad ereader for the price.