Microsoft is late to the game (as they were with the audio player and smartphone markets). Even if they manage to beat Apple in the tablet market in like 2014, the iPad will have had at least four years of huge profits with hardly any competition. By the time Microsoft and Intel get their act together, Apple will concentrate on something else and Wintel will be competing on razor thin margins in a saturated market. Why didn't Microsoft do it right from the get go with the Tablet PC? Why did it take Steve Jobs to show them how it's done?
As an Apple hater (I find offensive their walled-garden approach to product design), I'm sick of having to wait for years while others catch up. Even today, if you want a high res tablet, you're stuck with Apple. If you want a high end 3.5" phone (not everyone wants 4"+), you're stuck with Apple. At least now Wintel have something to offer if you want a thin, light laptop, and it took them what, two years to develop competition to Macbook Air.