This thing is pretty cool...yeah it is borderline fad...but not if you love to draw...I got the iPad and bought the Autodesk Sketchbook Pro AP...and it is the awesome!!
I just wish the iPad was bigger (like a "for designers/artists" version/size) and worked a bit better for transferring what you do in sketchbook to my other programs like Photoshop.
But it is cheaper than the other versions of touch screen sketch tech (*cough*cintiq*cough*)...and it looks pretty sexy...lovin' the apple design language.
Demo video for I Pad:
