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Giving the comp a shot, and if that doesnt work im gonna have to make a plan to get my hands on either an ipad 2 or and ipad 1!
Get the 16gb. The iPad 2 is a lot faster, and it has twice the RAM, and its nicer to hold too.
Not strictly true. I just imported an episode of a series into my ipad using the camera connection kit and an SD card.You can plug a USB into an iPad, but only to import photos, not to do anything else, like expand storage or whatever.
But I find 16gb is more than enough, for plenty of Apps, music and whatever. Tons of apps to stream video on my wifi network at home, and so I'm happy.