A friend of mine was just reading a book that has a genetically enhanced reef squid as one of the main characters (sometimes narrator). Manifold: Time by Stephen Baxter. He gave it a weak thumbs-up in general, but it sounds like it does get most of the ceph stuff fairly right. I have the book, but I haven't read it yet... anyone read it? It's apparently part of a trilogy with Manifold: Space and Manifold: Origin. When I get a chance to read it, I'll report further. In flipping forward a few pages looking for the first squid sighting, I got the steamy squid sex scene, which is fairly sound in biological terms.