$829 does seem expensive for this device.
I have not been impressed with any netbooks. I'd rather just use my macbook pro then degrade to something that's a tad smaller, lighter and less powerful.
I don't consider the iPad in the same category, because I think it will have have a completely different use. I think of this more as a web appliance. Having it in the kitchen to check the weather real quick, look up receipts on the web, stock quotes, quick search,etc, etc.
To me the touch screen is the major advantage the iPad has. I have an iPhone & Motorola droid Both browse the net just fine when I'm away or on the road.
However, if I'm at home sitting on the couch or in bed I don't want to browse the net on something that small. Having something double that size (I think) will become the perfect browser (with flash support).
I'm not saying its the perfect device, but I do see a need for a product like this and I think Apple will do a good making this happen. It may just take some time to realize the full potential of the iPad.
Seriously, in this economy, who would spend $829 for the GPS and the max storage. This is so way overpriced it is not even funny. A netbook has the same to greater screen size with vastly more features. Touch is not all that. I get that with my iPhone which is where I think touch makes the most sense. I am not going to pay this much of a premium for something that will be much cheaper in say a year or two.
Big disappointment.