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I am too a doctoral student and would love a tool like this although the data entry and analysis are probably too much. I think that some basic note-taking and being able to highlight parts of documents is essential but I wouldn't use a small device like this to write papers, wikis or webpages even if it had the capability. On the other hand I do need a searchable document database and if it had versioning capabilities that would be a nice bonus.
Regarding the screen size I do believe A5 would be sufficient, especially if the device would automatically detect and remove the margins of pdfs (maybe it's being done already, I don't know).
I like the sony ereader, but the price is too high for a device that has only two features (display documents and play music) and the iLiad is definitely way beyond what I'd like to pay.
The other alternatives (whether they call them internet tablets, UMPCs or PDAs) would probably get close to what I want with good software but it is unlikely that they can simultaneously meet the screen size, weight, runtime and cost requirements.
As far as the Motion LS800, $2k and 2 pounds is too much and I'd still need a device for ebook reading
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