Really don't know enough about it yet. It's got my attention though. What software does Apple intend people to run on it?
The Macbook Air hasn't been a hit for Apple and the tablet looks like another attempt to target the same market. This one might win people from the target demographic thanks to the touch screen. Just look at the popularity of the iPhone and iPod touch.
The price sounds appropriate for Apple. It's a 9" touch screen after all, and Apple doesn't try to compete with the value side of the market.