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A 32GB 3G iPad is $729. EDIT The Xoom costs $800, has a higher-resolution screen, two cameras, and the price includes an upgrade to 4G (whenever Verizon and Motorola sort that out). So I think it's actually pretty close. Well, at least the hardware is, which I know is not the whole story :-)

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Considering the iPad doesn't come on contract it would probably make more sense to compare it to the $799 contractless Xoom

Almost all the non-techies I know have the WiFi iPad, not the 3G version. I'm not sure of the exact sales figures, but I would expect the WiFi iPad is much more popular. Effectively the XOOM is competing against something that costs $500, not $729 + recurring fee.

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