It is interesting the differing perspectives and experiences.
I for one, discount iPAD users. If somone walks into a design meeting and brings one out, right or wrong, less credence is givien.
On the usability front, they are fine for limited tasks. For most consumers, a current desktop is overkill. I have server farms running on nearly the same hardware.
Gen 3 devices may finally have it right. The premise of Windows 8 will yield large benefits if the appropriate hardware is developed. The convergence of a tablet and notebook device, allowing both types of interaction and performance, can change the computing landscape.
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