After months of speculation and rumor, the Apple iPad has been finally been unveiled, but how should developers react? In a word: Cautiously. First of all, it is not clear who will pay $500 plus for a device that isn't suitable for use as a mobile phone or as a lightweight laptop (the lack of a keyboard is going to put off people looking for a business tool).

Secondly, it is not clear whether the people who do buy the iPad will use it on the move. Many people will feel this beautiful, large machine is just too expensive and too conspicuous to get out on a station platform or in a park where it might be snatched.  They will be more comfortable using it on a train, an airplane or in a cafe, but the iPad is going to have to compete with a laptop for limited space in the briefcase or rucksack. Again, business travelers will probably instinctively turn to a device with a keyboard, just as many prefer a BlackBerry to an iPhone for tapping out emails etc.  

Finally, for me, the iPad, with its stunning screen, is going to be more of a media and entertainment machine than an apps platform - it is going to play in the Kindle niche. For media companies, particularly newspapers, Amazon's Kindle and the iPad offer the potential of salvation - a way to monetize their content and halt the slide towards a digital free-for-all.

The web, not apps

But even that isn't a slam-dunk. I can certainly see people sitting on the sofa using the iPad to watch videos and read newspapers, but they will also use it to browse free content on web sites.  Apps are very popular on the iPhone and other smartphones because these devices have small displays and are used on the move with intermittent connectivity, making it tricky to navigate the web. Typically hooked up to the household WiFi, the large screen iPad isn't going to have either of those problems and consequently, I can see most users heading for a web site, rather than paying to download an app or a newspaper, unless developers can create a really compelling apps experience. Web-centric Google is going to like the iPad.

As the iPad will be able to run iPhone apps, I am not sure many developers will rush to create scores of dedicated apps for the large screen device. Indeed, Apple is trying to make it quick and easy to adapt existing iPhone apps. According to the Guardian, Scott Forstall, who runs Apple's iPhone apps division, said that developers will want to produce two version of their apps - one for each device, using a new and enhanced version of the iPhone development kit. "We think it's going to be a whole other gold rush for developers," he is quoted as saying.

Somehow, I doubt it. If there is a gold rush, media companies, not developers, are likely to unearth the biggest nuggets.