Amazon released a Kindle for iPhone and iPod Touch application (that link is to the US iTunes store, not sure about international release).
With Kindle for iPhone, you can:
* Buy a Kindle book from your Mac, PC, or iPhone using a Web browser and wirelessly transfer the books to your iPhone.
* Read first chapters of any book for free before you buy.
* Download the Kindle books you already own for free (they are automatically backed up on Amazon.com).
* Adjust the text size, add bookmarks, and view the annotations you created on your Kindle device.
Kindle for iPhone also includes Whispersync, which allows you to seamlessly switch back and forth between your Kindle device and Kindle for iPhone while keeping your bookmarks and reading location synchronized between devices
Wow! Now you don’t even need a Kindle now to read the eBooks. I’m assuming the “digital paper” display is easier to read on the Kindle, but this is very cool. I wonder if the images look better than on the grey-scale Kindle? It looks like it will “show books in color that were developed that way“. I’ve liked the idea of a Kindle but not the cost and I’ve also been afraid of not having it with me everywhere; if I can start syncing to other devices that’d be very useful. Even if you don’t want to read a whole book on your iPhone/Touch, you can read the first chapter of all the Kindle books for free! ANd it doesn’t appear to sync magazines or newspapers, only books.
And did I mention that it’s free at the Apple App store? Of course you have to buy the books.