I listen to audiobooks commuting and driving around town, which is about an hour a day; I also use them while cleaning or doing something else tedious. They don't replace reading, but sometimes I have more time for audiobook listening than for actual reading.
And I agree that narrators have become much better since the old "Books on Tape" days - I can often distinguish between 5 or 6 characters just based on the narrator's intonation.
I don't listen to them on my Kindle, though; I use my iPhone, which plugs into my car's stereo.
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