I am thinking a little more about the Kindle.
I really like
multiplexer's description of it as filling a similar niche to audiobooks.
Things that I've just learned that I like about it:
You can browse simple web sites (including RSS feeds and Google mobile sites) for free over 3G wireless. (Or probably slower traditional wireless in my area, if I'm reading that map right.)
You can stuff it into a ziploc bag and read it in the bath. (Well, that's a deceptively simple way to waterproof it.)
You can convert traditional e-books so they can be read on it. Which is good because I'm cheap!
Things I still really dislike about it:
Lack of backlighting. Being able to read at night without a light on seems kind of key.
The general cost of the books combined with the DRM. I'm old fashioned and don't really want to pay paperback prices for bits. If I'm paying paperback prices for bits, I want to be able to *loan those bits to a friend*. (I buy a fair amount of used books, so a Kindle would probably raise the average cost of books, in fact. Brad buys hardcover but is now buying those books through Audible if he can, since he prefers audiobooks that he can combine with doing chores or exercising.)
Getting PDFs readable on it sounds like it's fairly obnoxious, which is a shame as PDF-printed games and user manuals would be a great use for it, given the search capability. Why would someone make a document reader that can't read PDFs natively?
Given the cost, getting an e-book reader to... not use it for ebooks because the price point combined with DRM makes me unlikely to use it for that... that is larger and clumsy than my current mobile device... would be pretty dumb.
What I *really* want is a cheap data-only mobile plan for the iPhone. I would completely buy an iPhone if I didn't have to pay the large monthly fees, but instead could pay something far more modest that reflects my actual very modest use. However, most wireless plans are seriously for the birds for the kind of use I'm looking at; they give far more than I'd ever possibly use in a month and make you pay for the nose for the "privilege" of having all of that unused access. I probably want less than an hour a month of access in voice and data combined; my actual desire to use a phone outside of the house is probably as low as twice a month; my desire for data access is higher than that but still about 10 minutes a week. So you can see how the Kindle gets more tempting, because of its built-in data access, even if the browsing seems pretty limited. (No color, no flash, no shockwave.)
I'm hoping if I wait around a bit, someone will come out with a plan or device that will work for me. (Data-only for the iTouch would also be very keen. I can live without voice; it would be handy about once or twice a month, but I can cope without it.)