I bought the black and white one last year, and my son really liked it. He used it quite a bit, mostly on car rides.
He doesn't really use it now, though. But, when the color one came out, i thought of purchasing it, too. I then noticed, as I mentioned on another thread today, that Gameboy came out with video cartridges recently. Since he has a gameboy, I bought him several cartridges when they were on sale at toysrus.
BTW, he's 8, and he's much more into different things (including games) now. . .so, he hasn't really watched the videos as much. I guess now I'm thinking that maybe the video cartridges weren't even such a good idea. I think the idea is cool, but now that you mention it, it makes a lot more sense to buy a cheap dvd portable. . .although more expensive initially than the video now, really isn't more expensive once you take into account the cost of discs and that the video now disks can only be played on that player.