I don't really have a problem with Cait Sith myself - Sure I didn't fall madly in love with him but neither did I hate him to the extent that I couldn't look at him. I'll admit that I didn't use him much in my party as there were other characters which I prefered over him.

I quite agree that his whole storyline and entrance to the party could use improvement. I myself found it a little strange how he simply forced himself into the party without Cloud (Or any of the other characters) seemingly putting up a fight to force him back out of the party. I don't know, perhaps Cloud has a secret love for stuffed animals perhaps?

Looking past this however, I did find the idea that Reeve was controlling him as a spy for Shinra interesting. I thought it was a different way for a character to be involved in combat without physically being there. I don't find it strange that someone would create something to fight in their place if they themselves weren't capable of physically doing it - Come on Reeve looks like an office kind of guy ;D

So yeah, I'm kind of neutral towards the little guy. I found him to be random, slightly entertaining and cute to boot.