I'm using a 256mb transflash card in its SD adaptor with my iLiad and that seems to provide plenty of room (it was lying around unused when the need arose.)
The Sony Reader has a USB 1.1 port so you will find a USB 2.0 card reader a very handy thing. (Add that to the Border's bundle?)
And of course if you need to have the entire Gutenberg Library in your Reader so you can run around telling people "I've got the whole freakin' Gutenberg Public Domain ebook collection right here in my hand!" then you'll want the Sony 4GB MS Pro Duo with supplied memory stick pro adaptor, and I recommend the General Electric USB 2.0 Memory Stick Reader to go with it.
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