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I have Lookout installed, but that's only for the phone finder function. They're ok to have, but not essential. The iFriendly blogsphere make out malware on Android is a much bigger problem than it actually is.

Your best bet is to be careful with what you install (only install via official sites, Play, Amazon, GetJar etc), check permissions, that sort of thing. It's a bit of a read, but there's a pretty good guide on how to keep safe here: http://androidforums.com/android-ap...explained-security-tips-avoiding-malware.html
 
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I had Avast on my old Desire - but this was mainly for the remote wipe capability in case it got stolen. Not got round to putting anything on my one x though. I don't install anything from dodgy sources so I'm not too concerned!
I probably will install something soon - but it will be more for physical security (remote wipe and phone finder for example) than for internet security.
 
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