I know I'm very late jumping on the iTerm bandwagon, but better late than never. For years I've been a software purist; I prefer to use apps that come with the OS to replacing them. It started slow with Firefox instead of Safari. This is the latest in a long string.

iTerm is a replacement for Terminal.app. It seems to have all of the features Terminal has, and then some. A few of my favorites are:

• Tabs - iTerm has xterm-style tabs which is really nice for someone like me who keeps terminal windows open all day.
  
• Bookmarks - I'll admit that I haven't found much to do with these other than bookmarking ssh commands, but they're still nice.
  
• Text Dragging - We all know that Terminal.app has Text Dragging, but for some bizarre reason you can't drag text to Mail.app from there. iTerm lets you.
  

People complain that it's noticeably slower than Terminal.app but I haven't really noticed.

I'd say give it a try. The worst that happens is you don't like it, and the best is you find yourself with a new terminal application.