Well, now...
First, HP pricing is list and their products do get discounted at retail. So that $169 will be $149 at Staple and Office MaxDepot and hit $129 on sales at BB by Memorial Day.
Second, if they are getting into the Android tablet bubble at this point it is clearly a rush job. Probably related to the sale of the WebOS division. Which means it is a placeholder to get the brand into the Tablet space again in preparation for the *real* HP tablets in the fall.
Third, they probably only ordered a hundred thousand or so of the things instead of the millions of touchpads.
So, yes, it is a generic entry-level me-too product. But the HP brand and distribution will let them move 10-20K a month and serve as a launchpad for bigger and better things. (Their thinking, obviously.)
What I want to know is if they'll come with Kindle or Nook pre-installed.