I actually looked at the C240 when I was at Best Buy today, and came away unimpressed.

It's got a neat form factor, but the screen really is crappy. First of all, it was sorta dim. My nano-clone has a brighter screen believe it or not. Also, the screen is very narrow, so I would think picture viewing would be kinda useless.
With that said, I'm sure it's great at everything else- battery life, reliability, product support, etc. I like the idea of the "user replaceable" rechargeable battery. I considered buying one. The 1GB models are $79.99 in my area.
One more thing, the buttons were very small- smaller than my nano-clone's. This might now be an issue for you, but I have fat fingers.