I think for any pad to be acceptable the key is to have great applications for it. Android doesn't, and I honestly wonder if they ever will.
People talk about Apple having a jump start in apps over Android and while that is true, people who buy iPhones and iPads are paying good bucks for these apps. Now I don't know about you but if I were a good developer (I'm not) I would probably go to where the money is at and I think that's Apple, not Android.
People have to become willing to open their wallets more for the Market to compete with the App Store. I cringe whenever I see a post where someone is saying, "Does anybody know of a good FREE app I can get that will do my laundry and tuck me in at night." Well, that free app is Mommy and may not be available anymore. Pay for decent apps and the Android Market will improve.