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I love the thing. I have a 64GB non-3G (I have no need for constant internet access; the GPS chip might have been nice, but not worth the extra wad of money just for that). No, it's not a full laptop replacement, but it's very useful as an internet access device and a personal gaming platform, etc.
As a reader, I am very happy with the screen size and the ability to display color (Umberto Eco's The Mysterious Flame of Queen Loana is just beautiful on it). IBooks is underwhelming for it's lack of full ePub standard support (embedded fonts, etc.), but I never read ePubs anyway, so I couldn't care less about that app. Goodreader is my reading platform of choice; I export all of my books from InDesign as a PDF specifically formatted for the iPad's screen, and reading those on Goodreader, I feel like I'm reading a hardback book. Very nice.
The only real drawback for me as a reader is its low DPI - only 132 compared to my Sony's 160, and with smaller fonts plus the far sharper contrast which only serves to dramatically highlight this shortcoming, I really notice the difference. Reading anything less than around 11pt in a serif font styled for print really borders on uncomfortable due to jagged lines and so forth (the enclosed upper half of the lower-case "e" in Adobe Garamond Premiere Pro is almost indistinguishable at 10 point or less - really starts to look like a "c"). Sans-serif fonts designed for monitor displays look fine, so there's no problem with browsing, but I really don't want to read books in Arial or Tahoma. If Apple ever produces an iPad with something like 200 DPI or more, that would be a stunning reader at any point size in any font, but I suppose an LCD of that quality would be quite expensive.
Anyway, overall I'm very happy with the device.
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