People sure are making hay out of Amazon being fresh out of Kindles! And while there's certainly a chance this could herald the imminent arrival of Kindle 3, it seems more likely that Amazon hit an unexpected wave of demand. But who knows?
No matter how many times it gets re-iterated here, the iPad still isn't an e-reader. Similarly, although I have used a screwdriver to hammer nails many times, it is not a hammer. For your hipster magazines and children's books, the iPad is super, but for actual text, the glowing screen just is not the same tool.