The only issues I don't like about my kindle 2 is that there isn't a way to organize library collections according to genre. You can sort, by artist, title, and if it is or is not personal content. The only other thing I don't care for is the internal battery that will have to be replaced by amazon when it wears down.
The battery life is supposed to be extremely long. I've seen some boast a posssible life span of 10 years, but I'm skeptical. Not supporting other formats isn't too much of an issue because you can convert non-drm content easily through amazon, or by using calibre. The kindle does support unprotected .mobi, and .prc files.
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