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It's inaccurate to say PDF is a picture of every page. Usually the text is actually text. The problem is that your screen is too small. You can very easily, on a computer, zoom in on PDF and the text will increase in size without reflow issues.
I don't think this is so much a PDF issue as it is a problem with digital readers. In any case, I have a Sony PRS-700 and 99.99% of my documents are PDFs. I like them to be in PDF because it faithfully keeps to the page layout of the book format which in my case is important if I want to be able to correctly cite page numbers from the printed books.
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