Everybody is getting hung up on the price of this device, which I admit is high, but a comparison to the iPad's price is not fair. As stated below, the closest iPad is $730. Also the hardware is a generation and a half ahead of the iPad. The iPad doesn't even have a camera, very basic need for any kind of video conferencing (Xoom comes with 2). Please see the comparison chart [1] for more details.

But yeah, having to buy the Xoom from a carrier and paying atleast one month of data plan rate before cancelling it is kinda ridiculous.

[1] http://static.skattertech.com/media/2011/02/infographic-play...