If you are looking for a $60 tablet, and not expecting an ipad, then the 7" White Pandigital Novel might be for you. Check Ben's outlet.
There is/was lots of interest at slatedroid.com and custom roms that make this thing a very usable android 2.1 device. Take some of the negative reviews with a grain of salt; some people shouldn't own even a screwdriver, yet alone a piece of complex electronics that is far from perfect.
It has an 800x600 resistive touch screen that it very good if you use a stylus or your fingernail. It makes a decent reader, email checker picture viewer, and probably lots more. I'm happy with mine, as updated, since it does more than I expected out of a $60 tablet.