The news module is for creating your own news for your site and can generate an rss feed of it's own.
I've been using the RSS module to display RSS news from many different sources since DNNv2.x, so I really have to disagree with your statement. The RSS module is exactly for that purpose, you find an RSS news source, and use the RSS module to display it on your site. Now, RSS has matured over the years, and there is a lot to understand about how to go about 'translating' it, which is dependent on the second part of the setup in the module's settings, called the XSL file. Briefly, there are many types of RSS versions in use, with many variations in structure. In order to translate and present it within the context of the RSS module, you have to understand its' structure, the RSS version, and the namespaces contained within it. The default xsl for DNN is a simple RSSv0.91 implementation, which is not going to include namespace elements of any RSS document for other types or versions. So, you must create a custom translation xsl file in order to present it.
I've posted several articles on my website, and on the forums with examples of how to go about this type of thing, and Lee has taken some of my effort, and gone into some nice detail about how to learn more about the process. I can say his tutorials are a must read for newbies into getting most out of RSS, so please give them a read. As for the slasdot news, I'll take a look ,but if they are in RDF doc, these too can be handled with the proper xsl file, within the RSS module, I know because I've done it.
The other misstatement is that the RSS module is for creating your own RSS news file. This is totally wrong. There is an RSS method available for all modules to use that creates a simple newsfeed, but that is within the context of using the other modules, not the RSS module specifically. Ironically, the XML module is very closely related to the RSS module, and if you inspect the code you'll see that they are both pretty simple and uncomplicated. At the time of their introduction, many believed that an RSS file would be indicated with the file specification .rss, which really never caught on. So, that's probably why the two modules were seperated out. I have heard of an issue where news source files references are not being saved properly unless they have the .xml file specifation, but that's a bug.
At any rate, if anyone does have issues with the RSS module presenting a new source feed, please take a look at the file itself, and read Lee's tutorial. The issues I've seen are mostly a matter of developing a custom xsl to get it in a form to present. I'll keep a watch out for similar posts, and try to find my rdf xsl to post again.
Cheers,