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I have read for great lengths of time on my iPod Touch with no problems. I use eReader and buy books from Fictionwise. The multiformat ones can also be used on my new Sony Reader. I love reading on the iPod Touch and have read almost 50 books on it. You only need wi-fi when you are doing internet-related activities. I can load my ebooks into eReader and read on the go without needing to be near wi-fi.
My big issue with the iPod Touch was that I enjoy reading on the treadmill and found the tiny screen not steady enough for this and so I really wanted a dedicated reader. I am happy with my new Sony and will read a lot on it too. But I still enjoy reading on the iPod Touch and have no problems with it.
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