Oh man, kitchen knives are a whole 'nother ballgame!!! They are really what got me into the world of knives.
When I first got into cooking, I started out with the Wusthof Classic 8" chef's knife (which xxguitarist pictured) and a Henkels paring knife that was left in a drawer by a previous tenant when I moved into an apartment. Some people will tell you that a paring knife and 8" chef's will handle almost all of most people's general kitchen needs, and that's pretty true. But what fun would that be!?!

For many years, heavy, German blades with full tangs and bolsters were often thought to be the "best" knives for the kitchen, but a lot of people are now moving to the harder steel coming from Japan, which is generally able to take a thinner (more acute) edge without rolling over. The Japanese "gyuto" style knife is quite similar to the western chef's knife in shape and usage. I had been using a 10" Wusthof chef's knife until venturing into the world of Japanese steel with a
9 1/2" Tojiro DP gyuto (an incredibly good value). Many people also swear by thin, carbon steel Chinese slicing cleavers (as opposed to the beefier versions that are more for chopping through bones)... a great starter brand is
CCK. Some people like the santoku shape, but most find them too small to be of real use. Ultimately, it depends on what you'll be using it for.
While it might be fun to use your folder or fixed blade, most chefs will tell you that their knives are their most important tools in the kitchen... so now you have more excuses to go out and buy sharp things!! For much more info, there is a very active kitchen forum full of certifiable knife knuts at
http://www.knifeforums.com/forums/showforum.php?fid/26 who will be happy to help you spend your money.

Enjoy!!