E-readers are a great way to read books - especially if you are traveling and don't want to lug around a hardcover book - or maybe you just like having hundreds of titles in something thinner than the thickness of your hand.
I have a Kindle 2 - the GSM only version that uses AT&T for data download. I purchased it back in November of 2009 - and though the Xoom kindle app matches and even surpasses the Kindle 2 for many things, I still like using it for just one thing, and one thing only - READING!
The pages don't have to be ultra-pretty with outstanding color/graphics (unless it is a comic book) in order for the story to get across to me. Black and white will do just fine for me.
UPDATE - 3-2016 - Still have it, works great, now almost 7 years old, also have Kindle Fire HDX for reading....