I have to say that the "cool geek toy" aspect is still quite appealing. I have enough Unix experience that I'm not intimidated by the idea of executing at the shell (now that the shell hack is available), and php and I are on friendly terms, if not a first-name basis. But if I can't afford US$700-800 for an eBook reader, I
definitely can't afford it for a hacking toy.

My upper limit for the device as it stands now is probably about US$250. Maybe $300. And again, I have to point out that for eBook reading purposes, I'm pretty happy with the eBw 1150, other than the need for a Windoze system to convert and load books. And that was US$114.
The lack of suspend/resume is annoying, but the pen calibration is actually a bigger issue for me. I'd also need to see more in the way of HWR on the iLiad to make it worth my while. The release of the SDK might make a big difference, because that could prompt another wave of community development, but I think the price of the unit is just too high. That's why I might consider a used one, but a new model is out of the question.
Hopefully someone will come out with a different low-power linux handheld with good readability and pen support at a better price range. Lots of potential vendors have announced plans. We'll see what comes of them.