Does the Droid really NEED to be "rooted"? Depends; if you're asking that as "Is there a reason for ME to root it?" then the answer is probably no, otherwise you wouldn't need to ask. Are there legitimate reasons to root the phone? Sure, it allows the truly geeky and hardcore people (me!) to have unrestricted access to the OS and all of the hardware and do things never envisioned by the SDK -- giving applications direct access to the framebuffer, installing a complete Linux distribution to the SD card, removing youtube and facebook from the OS.