With a 9.7″ display, weighing at 1.5lb and 10hour [claimed] battery life, it’s basically a large(r) iTouch. WiFi, 80211n, and BlueTooth is built in. For an extra $130 it comes with 3G (from AT&T). It plays rich digital content and is able to browse the web (most toasters are able to browse the web these days).
BTW, it also allows you to read Newspapers, Magazines and Books (that you have to get from iTunes).