Here's just one of many potential sweet spots: I've been looking for a solution for a portable music reader for some time; the Kindle and Sony Reader's screens are a bit too slow, too dim, too small and are straight PDF readers (meaning, no intelligence around multiple endings, codas, and etc.) and the dedicated solutions out there aren't exactly worth the money as they're one-use devices. There's always the option of getting a used TabletPC and installing some music reading software designed for touchscreen, but I've been avoiding that because we really have no use for the keyboard, and their interfaces were never as snappy as even the iPhone's.
Count me in as pleasantly hopeful that this is a real product, and that I can get sheet music onto it in a way that allows for ease of using it live...