Well I find Adobe Lightroom to be infinitely more useful than iPhoto, and I shoot predominantly in JPEG. The only reason I take a photo in RAW is if the lighting is weird and I know I'm gonna fark up the white balance or anything else, and want to make all necessary adjustments myself.
Despite this, I'm not going to switch everything over to Lightroom until I know the cost of the software, as I won't be switching if the software costs more than US $200. As a student without an infinite amount of disposable income, I just can't afford it. 😱 The camera and 2 lenses I own, camera backpack, and everything else cost enough already.
And out of curiosity, I only use (my brother's copy of) Photoshop CS1 to use the magnetic lasso to select the area I want to edit, and edit as needed. That's all I use it for. What else do most people use it for?