I've had a Nokia n800 for several months now, and the size makes it very useful in situations that would make using a laptop, even a small one, awkward. For instance, when you're on the throne. I'm only partially kidding...

The smaller form factor, and the ability to use most of the devices functions without a stylus make it much more useful to me than my Samsung Q1. The Q1 convinced me that Windows has no place on touch screen tablet. It'll need some major redesigning for the interface to be useful in that form factor.

I withhold judgement on the Folio. Palm has underwhelmed me in the past, and I've come to regret it, when confronted with the wisdom of their designs.