Yeah I wouldnt be too thrilled about that either considering the screen is the only thing you look at.
Hmmm, to sell my gen 1 32gb and go to gen 2 16gb or not...
Just got it a few weeks ago, I really think after analyzing YouTube videos, it's not a worthy update. PLus I really like my Incase book jacket grey stand/case combo.
The only tempting ipad 2 cases are the incase book jacket for ipad 2 and switcheasy canvas. but canvas looks better.
Don't forget about the STM Skinny. That's what I've ordered. Look up the STB skinny thread on the Accessories subforum. There is a 20% off coupon from STM directly.