I stayed at the Luxor in the tower wing about 8 years ago and it was great. This last time (March 2010) we stayed in the main pyramid part. The bathroom was nice and the toiletries were both high grade and organic (a real plus) but the room itself was so dated. The curtains were really faded, the a/c was tempermental. The furnishings were fairly decent. The rug was really nasty (and with a kid in tow I care about things like clean rugs).
The check in staff are all very nice and attentive. The pool area is beautiful and I actually like the location on the far end of the strip. For the money though you can do much bettter in Vegas.