It sucks that the view distance in the game isn't anywhere near as good though. Maybe one day Notch will perform a miracle of coding and optimise it to allow for a 1km draw distance...
I'm impatiently waiting for the "[1.4] Double/+50% View Distance mod SSP
" to be updated. I'm not sure my PC can manage it (haven't tried it before), but I generally run 100+ fps with my current texture pack, so I think I can at least use the +50% view.