Apple has stated that it intends to stay "nimble" on iPad pricing if sales are sluggish upon release. The information comes from a note to clients from analyst Bill Shope on behalf of Credit Suisse recounting meetings with Apple executives.
Shope starts with downplaying the idea of potential cannibalisation of other Apple products by the iPad. Shope wrote that, "the company [Apple] believes it could eventually be seen as superior to both handheld and notebook devices for browsing the Internet, using the App Store, and consuming mobile media (video, photos, and e-books). Nevertheless, in other areas, notebooks, the iPhone, or an iPod may be more appropriate. This clear segmentation of capabilities suggests that cannibalization may be less of a concern than most currently believe."
On the subject of iPad pricing, Apple indicated that it would cut the price of the iPad if demand wasn't meeting expectations reporting that Apple management would stay "nimble" on pricing.