THE CEO OF BEST BUY says that the iPad is cannibalizing laptop sales by a whopping 50% (I suspect it's more for netbooks and less for real laptops, so the figure is an average). That doesn't suprise me at all. Yes, the iPad is more expensive, but if you add the cost of a cheap netbook and an ebook reader, it's not that far.
I was a bit skeptical when I got one, but after a few weeks I can say that the iPad can really do the work of any netbook, with a much richer user experience (no, it doesn't have a keyboard, but those of us who type with 2 or 3 fingers don't really notice much difference). And it's even better than a laptop for regular use (email, office suite, browsing): it's lighter, battery life is great, and if you get the 3G version you avoid the bulge of the modem, which defeats the whole purpose of mobility.
And something else that the iPad clearly beats laptops: at meetings. There's no open lids that 'separate' participants and act as a barrier between them. With an iPad on the table it's easier to establish 'psychological connection' with the other people in the room, which is better unless you really want to put some 'distance' as an advantage against the person you're negotiating with.