My wife recently got an iPad 2 - updated to 7.1 as soon as I took it out of the box. I was very leery of getting a 2... it's 3+ year old tech! BUT... surprisingly, it runs 7.1 VERY smoothly. At first I was bummed when I saw the news today, but the more I though about it, even at $399, that's $100 more than we paid ($299 at Walmart). I think the iPad 2 is still very worth the $299 price. I'd LOVE to see Walmart et al discount the remaining stock - $249 would be sweet (and a price match for me, if they do it very soon lol).