I have both a PRS-600 and a Kindle 2, so perhaps I can offer my perspective.
I find that the "reading experience" is better on the Kindle; the screen is sharper and clearer (because of the touch screen on the Sony).
However, if I were to only keep one machine it would be the Sony. It's smaller and more compact; the build quality is better; the touch screen annotation is superb, and the dictionary is better. I also prefer the Sony's library management and search facilities.
You really can't go wrong with either machine, though; both are excellent.
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