For people who are getting a data plan anyway and plan to keep the plan long term this might be a good option. My only concern would be is being stuck with the same tablet for 2 years. Or at least if you do get a new tablet you will be paying full price for your next one.
For all the people who were saying that Verizon would not have a contract price for the tablets and they were sure you were obviously flat out wrong. I got a lot of heat for mentioning that people who were saying they knew for sure were incorrect. I mentioned that Verizon could change what they had done in the past for the Xoom, but I was ridiculed for that.
So be careful of all these people here who proclaim to know everything. Use your own common sense when it comes to these things. My common sense tells me to wait on the Xoom, but if I was buying one know I would buy from Costco and not on contract.