For myself, I decided on the Sony because it's just a better made product... smaller size, loved the touchscreen, quality feel with the metal case. I hated how big the Kindle was because of the keyboard, the page buttons on it were pretty stiff to push also. Now that could have just been the store demo, but the size and plastic alone was enough for me to not like it.
The fact that the Sony can also handle library books was a bonus, but it's definitely not a reason I'd buy a reader I didn't like just for library access.
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