The price is indeed a little steep -- on the other hand, it's comparable to other MIDs such as the Nokia web tablets (at introduction price), or a netbook, which is basically what these gadgets are. They're the second generation of the ill-fated Origami/UMPC concept, which lost out to the Netbook on both price and usability; they're back now, with better usability and at half the original (steep) cost.
If you just want an ebook reader, this device isn't for you. On the other hand, if you want a PC that fits in your pocket (unlike a 9" or 10" netbook) and doubles as a decent movie/music player, it's another matter.
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