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To be fair, tablets have flopped in the past as they've mostly been laptops with flip around screens, or Slates that cost more than laptops etc.
If someone can go with the 8.5x11 or A4 tablet and get it out in the $500-800 (iPad) range, I think it would really take off as that screen size is simply a necessity for any heavy document work, and is a huge plus for magazines, newspapers and comics as well.
Battery life will probably be a bit lower than iPad--but maybe not since they can put bigger batteries in it (batteries take up most of the room inside the iPad case).
Cost shouldn't be much more as it doesn't really need more processing power, the iPad is fast already and the only difference here is a bigger screen. And hopefully some things like an open file system, drag and drop etc. which don't use more resources really etc.
But you're right that it will likely unfortunately be a while before we see those as most companies will opt for smaller, cheaply available 16x9 netbook and laptop screens and try to price devices under the iPad to get sales.
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