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I saw the video in engadget. It is not painfully slow; in fact, i think it is pretty good.
I too am interested in Nook Color but it has to deliver the speed so the spec of the CPU is super critical. There is no fun surfing the net at snail pace. I'll also wait and see until I can try it out in the store. I hope that they pick the right processor to be compatible with the nice screen display. However, I'm a little skeptical since if it is a super good processor, they would have highly publicized it already.
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