This would probably reduce the demand for pure ethanol, but I think from the article that this is just a catalyzed dimer made from ethanol.
As for corn well.....In addition to sugar beets, other possible feedstocks for biobutanol production include sugar cane, corn, wheat and cassava. As the science progresses, cellulosic feedstocks from grasses or agricultural byproducts such as straw and corn stalks might also be used.