The iPhones I've seen make me want one, but my service provider is t-mobile, so I'm out of luck.
But I'd never use it as my main ebook reader. I did too much of that on my palm Tungsten T5 and I have mobipocket on my HP iPaq211 pocketpc and in an emergency they're fine, but for extended reading the backlight (they have true backlights, as compared to the 700 which isn't a backlight at all, but sidelights) is too hard on my eyes, even with the brightness turned down.
I've thoroughly enjoyed using my 700 since I got it in early November -- I don't miss the wireless at all, since there aren't all that many new books I want to read, and all the classics and older books from PG are formatted for the Sony readers and easily downloaded to my computer and from there to the reader. I currently have 1500 books on my 700 to select among, so I'm never without a book to suit my mood.
The glare isn't an issue at all for me -- I find it easy to hold the book so that I can read it without having to contort myself uncomfortably.
The clarity of the screen is fine for my reading purposes -- I wish it could be crisper, but the advantages of the touch-screen and the increased speed and storage on the 700 compared to the 505 or the 500 (my first Sony Reader) are so nice that the diminished clarity is easy to read with since it doesn't make the device unreadable.
But I would join others in urging you to do either of two things: 1) go to a store where you can see the device for yourself; or 2) buy it from a place where you can return it (i.e. don't buy it from Borders) if you're unhappy with it.