In my opinion the iPad1 has the better value. Mostly because apart from the camera it can do all the things an iPad 2 can do and costs much less. And if one only had a laptop/pc before, both iPad 1 and 2 offer a huge comfortability bonus. Sure the iPad 2 is faster, but at least for me the jump from laptop to iPad has a much higher value then from iPad 1 to 2. And lastly, taking Photobooth, Facetime and iMovie recording aside, how long will it take for iPad 2 only apps to appear? Considering that iPad 3 is only a year or less away, I find it foolish to upgrade to a faster device now, when I still have to wait month for apps to come out to use this better hardware.