Despite the freeware price tag for the LE edition and a relatively solid set of features in the commercial release, CuteHTML is actually a tough sell when compared to competing text/HTML editors like UltraEdit and TextPad.
These apps include increasingly critical features like advanced multi-file find and replace (CuteHTML's find and replace is limited to open files only), macro recording capabilities, customizable toolbars, column mode editing, projects/workspaces, and file comparison tools, none of which is currently available in CuteHTML.
The bottom line is that CuteHTML definitely holds promise, but it isn't ready quite yet to step up to the plate and compete with the big boys. With a few more feature additions and improved integration with CuteFTP for remote file editing, that story could very well change in CuteHTML's favor.
Pros: Works (fairly) well with CuteFTP, remote file editing, Freeware LE edition
Cons: CuteFTP integration could be better, lacks features found in competing clients