I own one, as do two of my close friends. We all fit the late 20s, middle-class, lower/middle management, computer geek stereotype - we love gadgets and are early-adopters.
I understand full well that the iPad is only a fraction of what it could be if it had been produced by a company other than Apple and ran Android instead of iOS. But I happened to be in the market for an e-reader anyway, and the iPad happens to excel at that (iBooks is overrated, but there are now apps for just about every major e-book store), and also lets me read news feeds, check email, look up video game stragegies online, etc. It's also a great airport time-waster. Apart from the price difference there was just no reason to NOT buy an iPad rather than a Nook or Kindle or whatever.
Anyway, I don't think you're particularly wrong.. there's just another class of us out there who bought the iPad because it filled a niche that no other product currently fills. There are a lot of Android tablets slated for this holiday season, though