I came here to write basically this. Additionally, I think that Microsoft is making a mistake with this Surface tablet. Consumers want a device that will be easy and fun to use, and that has good access to a lot of content. Maybe the iPad will eventually transition into more of a productivity device, but right now consumers (and Apple) don't view the iPad as a PC replacement.

Microsoft's approach (one OS for tablets and PCs) was a poor choice; the two devices have different needs, and require different UIs and feature sets. They have done so much work on Windows 8 in order to be a competitor in the "tablet market" but I fear that there is no such market. People don't want tablets as MS invisions them. People want iPads.

In my view, the Surface is a step between a laptop and an iPad. Does Microsoft intend for this to unify and replace these? They have produced a product inferior to both an iPad and a laptop, and thus I imagine the Surface will replace neither for most people.