Before I got my reader, I thought I would want a memory card, but once I had it, I found the internal memory was plenty. Eventually I'll have a library of several thousand books on my computer, but I really don't foresee needing or wanting to have access to all of them simultaneously on my reader -- currently I have 197 files on my reader, some of which have multiple novels or stories in them, and that provides me with plenty of reading material for every mood. When I want something new, I can just add it to my reader, deleting already read books/stories to make room if necessary (hasn't been so far -- the internal memory is really quite big -- or possibly book files are just unexpectedly small).
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