Just as difficult as it is to understand that $499 iPad should never be compared to XOOM. The better comparison would be to reported WiFi only XOOM ($539). With 2x RAM, SD Card slot, USB port, real cameras etc. I'd say many will consider XOOM a better value.
You mean the SD card slot that isn't functional yet? Flash was promised but isn't working yet. Only ~100 apps. Not to mention that the 3G version requires a month of data to unlock the WiFi feature and will require the owner to ship the product in when the upgrade to 4G happens. How sure will owners be that they will get timely updates of Honeycomb?
How much value lies in a product that sells on promises but ships half-baked?
I really hope competitors make great devices to force Apple's innovation pace. The Xoom just doesn't seem like it will do so. Speeds and feeds don't mean much in this case.