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I switched from Sony 505 to DXG, so I can't comment on size. Also, I only use it to read books, for leisure, nothing else.
The Kindle is a better reader IMO. Clearer and faster. Better support and aftercare too.
As to converting non-DRM epub to mobi, just load then into Calibre and do a batch convert. Almost all will be fine - oh sure, you might be able to polish and tweak them, but the simple convert will do to read them.
The only thing I miss from the Sony is being able to manage it on my PC.
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