We are in the middle of a long trip and got kindles for the two kids and ipads for the parents just before we left home. Kindle is way cheaper and for the kids, we like that it is strictly a reading device, so they are not tempted by other features when they are reading. We have mixed feelings about the convenience of downloading books instantly - it is awesome for traveling, especially since we don't speak the language here, but I don't like the one-click shopping which cannot be turned off. The kids have been admonished that they must have permission to purchase, but a required password would be much better. When we get back home, we'll probably go back to using the library most of the time, since the books are free there....
Great idea! When DD is older I will definitely consider getting her a kindle or nook.