Oh Steve Jobs said the iPhone is the competitor to netbooks (or something to that effect) - since Of course once he saw netbooks selling like crazy- then he said he has some interesting ideas in the netbook category (which then turned into the iTablet rumours eventually). Anyways, this is not about an iPhone tablet vs a Booklet argument - and even I agree the Booklet is overpriced (but we will reevaluate that when the iTablet comes out again), but it is not underpowered - which you do agree. Actually apart from the $60 monthly plan for 2 years bondage, I would say the booklet is a attractive up-market netbook for the discerning crowd. Its not as if all manufactureres have to make products to the lowest common denominator (Apple shines in this philosophy).