Amazon Kindle $139
Display: 6” low-end resolution
The kindle can connect to sync books and surf Wikipedia via the 3G (phone) network when in reception zones. However to surf the web you will need to be connected via Wi-Fi.
Galaxy Tab 10.1 $569
Display: 10.1” high resolution
Galaxy does not have 3G capability. So it will rely on Wi-Fi connection to update and utilise web surfing or download eBooks.
Display: 9.7” high resolution
3G: Yes available in higher model
Both the Galaxy and iPad have the ability to download application and have other uses. The Kindle is more of a specific eBooks device with the added ability to surf the web.
As far as user reviews go, the Kindle is excellent at eBook use, sufficient at websurfing. The Galaxy and iPad excel at iBooks, web surfing and other tasks that may be required in the future.
The price difference is quite high, mainly because of the possible expansions and tasks the high end tablets can perform against the specifically made eBook Kindle.
If it were me, I would purchase an iPad2 because it has more functions and capabilities as opposed to the Kindle. Resale value will held higher with the iPad as well.
Good luck DQ :)