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I've read a few books on an iPod touch using both Stanza and Kindle software. I know there are real limitations to using LCD's for reading eBooks but to my surprise I was neither driven crazy nor did my eyes bleed. I've seen a few Kindles and was underwhelmed by the dark gray letters on a light gray background and was not immediately impressed.
In other words I'm beginning to suspect that e-ink may have been over-hyped and that an Apple tablet may be a formidable, though expensive, alternative. However, I've spent much more money on books than I have on electronic devices like this. I'm not going to quibble over a few hundred dollars to get the best possible device for reading. My only concern about an Apple Tablet (and there will be one released, the success of the iPod touch insures that) is how difficult it will be to hack in order to obtain something that is essentially entirely open.
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