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If you don't mind reading on a LCD device, then you might want to consider the 7" LCD readers which use WinCE (see the Alternative Devices forum) -- I recently got the JE200 on a trip for $200, and the screen is extremely good. It runs Windows CE 5 (so a lot of software is available -- almost like a mini-ipad, and I *have* seen both of them in action) and has a resolution of 800x480. I recently ported PocketXpdf to it, and it runs beautifully on it. I'd recommend that you take a look at one of the devices in person (there are many similar to the JE200) and decide whether they suit you. Note that they're more like a tablet -- you can read word/excel files on it, connect a USB keyboard, use the wifi adapter to surf the net with IE6 (opera/webkit also runs on it), etc.
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