After using the 7" Galaxy for some time along with an iPad, the Galaxy is still a bit clunky. Everything that takes one click and is highly intuitive on the iPad, takes 2-4 clicks on the Galaxy. The Galaxy has about three hours less battery life than the iPad and honestly, iTunes is the main reason I love the iPad. It's great to load up a season of my favorite show before jumping on a plane to Europe and NOT running out of batteries somewhere over the Atlantic.
That being said, the Galaxy is a great Kindle and it has a few fun apps that the iPad does not. And the Galaxy has somewhat snappier internet performance, so it's kind of a toss up. Just like the Mac vs. Windows thing, I use both and they coexist just fine.
I'm sure the bigger screen will be a welcome improvement.