I think it's retarded for the price. It doesn't multitask, you can look at the internet with with big lag spikes and flash doesnt work on it, the ibook is a good idea, carrying it around would work if you had a backpack and a hardcase for it. Not good for school cuz you need a keyboard and it needs a stand so it wont be flat on the desk. I think the only people who would use it are doctors and stuff to look at files and crap. Games are going to be cool for like a few min or 2. You're not going on any big adventures or play anything amazing besides "HD Hangman Touch!" or ripoffs of other old games like pong and card games where you can touch and move stuff around.
for $500? hell no. Go buy a HD gaming desktop computer. I'll build you one for cheaper than that.