I read ebooks mostly on my smartphone, which also allows me to edit documents with Pocket Word. The phone has a slide-out keyboard, which I highly recommend.
I say "mostly" above, because I now have a Nook Color. I mainly got it to read magazines digitally, but so far, not all of my subscriptions are available digitally, so I've tried out a few ebooks on it as well (it's great).
Both of these are backed up by my laptop, which I use to purchase ebooks and magazines from whoever, remove DRM where necessary, and sideload into either device.
I use a separate MP3 player, because of its optimized controls.
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