Hmmm looks like I'm gonna be the contrary one here then
I owned both a Sony PRS-505 and an Ipod Touch. I got rid of the Sony, I hated it. Given the choice between reading on my itouch or an E-ink device the touch wins hands down every time.
First of all I mainly read in bed on my side and the touch is the perfect size to hold in one hand and with stanza it couldn't be easier to turn pages, my eye-sight is very good so I have no problem with reading a small font so I'm not turning pages every second though that wouldn't be a problem as at least with stanza the page turn is instant, that could never be said about the Sony. The Sony was just too big to hold comfortably in one hand and the button positions for me personally were awful. The screen going black when it turned a page was just too off putting for me it detracted from the enjoyment of the book.
The second reason again comes from reading in bed as i like to read with the light off, I read for 3-4 hours a night and I read till I fall asleep, if I have to move to switch the light off I'm awake again and it's another couple of hours before i fall asleep (weird I know...) the touch is perfect for this as it switches itself off after 3 minutes.
I've never had a problem with reading off an lcd screen and being an optician (no longer practicing) I also know that the majority of people who complain of eyestrain when doing so are having a psychsomatic response because they've been "told" that's what will happen. The main reason a lot of people have these problems is they get into a kind of "staring" mode and forget to blink.
The last advantage of the touch over the Sony is the size, the Sony just isn't comfortable unless you're sitting up and can use both hands if you have to and I very rarely read like that, in fact the only time I can think that I do is when travelling on the coach to football games.
Feel free to shoot me down in flames but E-ink in my opinion has a long way to go before it will replace my backlit LCD or Pbooks, though I keep looking at all the new developments hoping one day it will