When the first PCs came out, they cost many thousands of dollars. When GPS receivers first came out, they were many hundreds of dollars. Now you can get a laptop for a hundred bucks, and get GPS in your phone for virtually no extra cost.

I don't really see what's new about this particular case. It sucks for someone who wants one, but it's what virtually everyone does when they have a new technology until everyone starts competing and forcing prices down.

That said, I want one too, and will keep an eye on the product space for something that fits into my budget a bit better. Not ruling out the Kindle 2 itself some day, but not during the initial launch period.