Having a HTC Desire HD with a 4.3 inch screen makes for a fairly comfortable reading experience while I'm out-and-about or in work as I'm not in a position where I'm likely to be reading for a long period.
If I'm going to be reading for a long session I wouldn't consider the handset, I'd use either my Sony 600 or my tablet PC. I'd only use the handset for a long session if I'm somewhere without either of the other two devices and am stuck there for some time.
Saying that, I can quite comfortably read on the Desire HD for long periods without experiencing any difficulty. Can't say the same for my previous phone which was a Nokia X6 and its screen was 3.2 inchs, that was a bit small for reading for too long.
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