There's not a 'best' way of reading electronically. What works best for you depends on your needs and tastes.
I have a Kindle, and I have a smartphone (and an MP3 player). I read almost exclusively on the Kindle, but occasionally I will read on my phone (I use only the Kindle app, though others are available).
I don't like reading on a backlit phone screen, nor do I like the small (4-inch in my case) screen size or how it feels in my hand. But it is great for convenience.
My phone is a great MP3 player, and if the phone I have came with a lot more capacity and at least triple the battery life I would ditch my separate MP3 player in an instant.
Tablets and phones do have an advantage when it comes to multiple book sellers, but I really don't care too much since Amazon (at least in my country) has easily the biggest range of books, and I doubt I could even buy an ebook (without faking my location in some way) that isn't available on Kindle.
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