With the iPad, I mean, it's not a Netbook. It's quite literally a big iPod Touch. OK, it doesn't run OSX, it can't multitask, it doesn't have a camera so you can't do video chat...what are you going to buy it for? iBooks? People aren't buying the Kindle to do that, why would they pay even more to do so on the iPad?
Furthermore, you gotta pay $30/month for 3G access, which is a must for a device pulling down as much web data as the iPad does. I've done web browsing over EDGE on a Blackberry and it was garbage, and I can't imagine doing it on my iPhone.
The iPad is a lot like the PSP in my eyes. It's cool technology, but it's servicing a market that doesn't exist...its banking on being able to create a market from scratch. And like the PSP, I don't think it's unique or compelling enough to do that.