Okay, guys,
The iPad and an MBAir are two completely different devices; they are not equivalent. Their capabilities are close, and some things can be done by both.
But they are not held the same, the OS is not the same, they are not used the same way.
For those that don't need the extra power and prefer the iPad's use attributes, a laptop is not an alternative. On the contrary, tablets are a laptop alternative, instead of the other way around. Same thing occurs with a laptop vs desktop comparison. A laptop can replace a desktop, but not the other way around. Tablets just add a third tier to this logical structure. You could build a way more powerful PC for the cost of an Air. However, you wouldn't be able to use it the same way.
By extension, a laptop and tablet are portable, but a tablet is more so. A laptop requires you to set it down to use it. Period. Not so with a tablet. For this reason, the use applications become more flexible than a laptop. You can set down a tablet, but you don't have to.
Tablets have been called "post PC" devices for a reason. The Air is effectively a PC.
Extra storage on a tablet means the same thing as everywhere else: more room to store what you need. I don't understand why a tablet has to be cheap for it to be a good value. Don't get me wrong, I want things as cheap as I can get them too, but that is a different subject altogether.
So, if you got a grand to spend for a computing device, ask yourself what you do with it, and more importantly, how you do it, then choose between an iPad or an Air. Both are sound values, and both sacrifice something.