Apple's stuff is usually overpriced, but the company always seems to debut a few neat features that separates its products from the competition (and justifies the price point differential in the eyes of some). I don't know how you could categorize the iPad announcement as anything but a failure, because this announcement comes on the heels of the tablet explosion at CES just a few weeks ago. And the stuff we saw there was not only sleeker and more powerful - but will likely be cheaper as well.
Apple has a head start because the iPad is already into production, but I can't see this as anything but a novelty gift for Apple enthusiasts when far superior tablets (open source, no less!) are on the horizon. I think Apple had the means and the capability to debut something that could replace the PC and laptop, but that award will go to somebody else (HP? Acer?).
Yeah, it's decent compared to the Kindle, but everyone has to realize that there are a dozen e-Readers hitting the market this year that plan to undercut that price.