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As a recommendation - if you're returning the Kindle anyway, check out the WITS A81E. Is a $200(ish) Android tablet running 2.1 or 2.2. Plenty of power and battery life.
If you're willing to spend a bit more, in a month or less Archos will let go of the Archos 70 and 101 - 7" and 10" - which will sport an A4 processor (think iPhone) and run Android 2.x
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