As I mentioned in my previous post in this thread, I was contemplating purchasing an Ipod Touch primarily for its ability to read Kindle books. Subsequently, I have purchased the Touch and downloaded some Kindle freebies and low-cost titles.
I'm quite pleased with the Touch as a secondary reader, but I'm not sure I'd want to use it as my primary reader. It's great for reading for 30 minutes or so over lunch or after going to bed, but I don't think I'd want to read hours at a time on it. The small screen really isn't that much of a factor due to the ease of turning "pages". I still prefer my Sony 505, but I'm also very happy with the Touch.
SteveK
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