I don't believe it has GPS, so not so sure about the locational awareness bit.
It looks like both the wifi and 3g versions have a digital compass, as well.
That's a substantial hit on the "it just works" front. Some apps will not be able to do anything useful without this. Some people won't understand why.
Btw, does anyone else find it striking how much patent licensing adds to the cost of a device? I'm pretty sure Apple is passing the $130 3G upgrade along at almost cost. These 3G chips have been out for years now and probably only cost about $10-20 to manufacture, yet every 3G cellphone manufacturer gets raped by patent licensing costs to the tune of $100+.
Digital compass
Assisted GPS (Wi-Fi + 3G model)
Looks like both models have A-GPS