As I understand it, most LED monitors, or at least cheaper ones like this, might be using a lesser form of LED called edge-lit LED which isnt even noticeably different from a regular LCD at all and in fact could have some visual disadvantages. I will be using this mainly for gaming and watching some movies. So is LED worth it?
Overall, I do not see too much benefits between the LED and traditional CCFL (florescent) backlighting. It has been mentioned that the colors seems more vibrant with LED backlight though (a THG review). All LCD monitors with LED backlight are edge lit. The only exception would be monitors geared towards graphic professionals and those are in the thousands of $ range; at least 15x your budget. Those have a full array LED backlight.
While I do not have a monitor with LED backlight, I do have a HDTV with a full array LED backlight (LG 47LH90). While the colors are good, they are not exceptional.