Totally agree! I see people holding them up recording video too, looks ridiculous like you said. Some people think the pic or video will be bigger because they took the pic on a bigger screen.
I find this hysterically funny simply because I was at a graduation and couldn't believe the # of people using iPads to video the event.
At one point, I was asked by someone if I'd help & take her picture of her & son. I thought she was going to pass me a camera or her phone but NO....she handed me her iPad and I felt like a jackass taking the pic.