The ipad doesnt multitask, what does it do?

Anyone else heard that the new Ipad wont do multitasking? Ie its not going to let you do more than 1 thing at a time! Now i know this things main purpose is supposed a quick tool to run some small apps but even so its always nice to be able to run a few things in the background while you are working on something.
Still who am i to criticise? I mean i remember the flame wars that went on when people really didn’t get the Ipod either at the start, and how well did it do? Still i don’t really understand the purpose of the Ipad, who is it really for? Its too big to fit in your average handbag so you can count most chicks out and it don’t think my friends would take me seriously if i turned up to the pub and started playing with this “dinner plate”.