The N800 Internet Tablet, by Nokia, costs about £280.
This is a very small, thin and portable handheld device with a large colour touchscreen (800-x-480 pixels) and the ability to perform Web browsing, play multimedia (music, photos and videos), read e-mails and access other applications (games, calculator, etc.). While this is a Nokia device, the N800 doesn't access a cellular network, instead it uses Skype to perform VOIP calling through the device's Wi-Fi connectivity.
This is a great device to have at home as a quick and easy way to access the Internet without having to boot up a PC or notebook. It's also the closest thing to an Apple iPhone that I've seen from a mobile phone vendor. Its HTML Web browser has very good zooming features -- even without having to use your fingers to zoom in or out. The high-resolution screen displays photos and videos brilliantly, and it has external speakers for good music playing ability.
The user interface is easy to use, offering me the ability to customize my "desktop" to display widget-like applications that I could access quickly, such as a quick Google search or just looking at the "clock" application to see what time it is. An Internet radio application streamed music feeds from the BBC, but with some additional work I could add my own streams.
I would have preferred an easier method for accessing Internet email, such as a Yahoo or Gmail account (I tried to use the device's wizard but couldn't access the account correctly). Unlike other mobile devices that do the heavy lifting for you in terms of accessing Internet e-mail accounts, the N800 makes you do all the work. I'm also not sold on relying on a Wi-Fi connection and Skype for making VOIP calls -- I wouldn't use this device as my primary cell phone, I'd probably hold onto that for making phone calls.