I still use Konqueror as a file browser. There was a day I used it for web browsing + file managing (back in KDE 3 days), but there's very few updates being made to KHTML these days and it has stagnated.
I had heard that Konqueror had removed KHTML, and substituted a qt widget that bundled a recent Apple webkit. I'm not sure about this status, and I'd have to look it up.