The iTerm 2 project has been around for a while, but it recently caught my attention again as development has become very active recently. They have fixed up the horribly convoluted profile/bookmark system that was present in iTerm, seemingly improved performance by measurable amounts, and also added a few nice features.
You can note in the above screenshot comparison (Terminal.app is top, iTerm2 is bottom) that:
Apart from that, they should look identical on the surface, which is a good thing. Of course, there are many hidden niceties which have made me jump boat:
Also the icon is pretty awesome:
There is only one minor gripe I have so far, being that you can only set one session to open at startup, but that’s not enough of an issue to hold me back from making the switch! iTerm 2 is being actively and openly developed, unlike Apple’s version (which occasionally gets an update on a new OS release), so I have hopes to see it get even better in the future .