There will obviously be a mass market for a cheap tablet of some kind.
many many people don't have the disposable income to pay £500 ish on a luxury device that is an addition to things they already have.
Perhaps they have 2 or 3 children, are we suggesting £1500 then?
If someone can bring out say a £99 or £149 tablet that reads books, has a web browser, gets email, does twitter, and plays some games, and looks reasonable, it's going to do well.
In the same way that only the minority of phone users have an iPhone, the minority of tablet users may have an iPad (eventually)
Steve I guess does not want THAT market, but others will.