An iPad just seems like a very expensive Kindle.
If Tablet prices get down to say, $50, they'd be great to hang in the kitchen and get weather and recipes from!
Moreover, in a further unscientific survey, paperback books outrank hardcover books, who's usage surpasses the Kindle and Nook, combined.
And I live in San Francisco. Moreover, the people who bring any of these items don't seem to drink their coffee! feigned shock
I would guess that the majority of iPad usage is in the home and, to a lesser extent, in the office, so much so that I probably won't even buy the 3G version of the iPad 2 (I have the 64GB 3G iPad). Plus now I live in New York (rather than Australia, when I bought mine) and wifi is much more readily available here (Starbuck's for one) if I feel inclined to take it with me and need the internet.
One disappointing thing is that Apple seems to be doing the big CPU/memory upgrades of the An platform with the iPhone, not the iPad. This is annoying for two reasons:
1. The iPhone 4 came out a mere ~3 months after the iPad. Are you telling me that this 3 month gap meant the iPad couldn't have 512MB of RAM like the iPhone 4? Presumably, the iPad 2 and iPhone 5 will be on a similar gap; and
2. I'm more interested in processing capacity on the iPad than an iPhone.
But not with the iPad; they ended up being very active users. In bed, on the couch, in the kitchen, etc
Also, on the hardcover thing, we must live in very different areas, because even excluding novels, most books people have lying around are paperbacks and while there are a few hardbacks, they're not used with anything like the regularity of e-readers.
In my equally unscientific survey tablets far outstrip netbook usage on public transport. As to your second point I think most people consider that an overwhelming positive for tablets. You don't have to "use" them like you do with a real computer. You can just glance at them occasionally and very quickly do whatever it was you wanted to do and then get back to doing whatever you where at the cafe to do, like eat food or talk to friends.
An iPad just seems like a very expensive Kindle.
But it is a Kindle you can comfortably browse the web, check your mail, twitter and facebook and play Angry Bird on. Reading e-books is relatively low on the list of things most people I know use their iPad for.