It's interesting that a lot of these seem to be hosted solutions. I'm surprised people aren't switching to self-hosted webapps or standalone desktop applications. Why aren't people more worried about these services shutting down, even with memories of Reader painfully current? I can sit back and watch people panic with smug superiority, since I never used Google Reader. I'm currently catching all of the blogosphere's…
Dedicated apps have been around forever, heck they owe their heritage to News Readers (before the binaries took over usenet). I have two laptops and a phone, so I couldn't use a stand-alone application for the 200 items I get a day.
As for "panic"? I didn't panic, I grieved and then found a replacement. It wasn't that hard and frankly it beats patching and maintaining myself, I have better things to do. I think that Google's decision was wrong because Reader was a good service, but I also think it has benefited many people because several companies and individuals have benefited from the fallout.