I’ve got an Acer. I really like it: good screen, good speakers (for what they are worth), and I really don’t think that much beats it on the hardware side for that money. It’s a little bit bulkier than some (eg ipad) but it’s cheaper. Still looks and feels well-built and pretty slick. Honeycomb is still evolving (but each upgrade adds new features) and the relative lack of Honeycomb-specific apps is one possible drawback, but for what you are looking at I would recommend it – and hopefully future upgrades will work for a while to come and the apps will only increase in quantity and quality.
Drawbacks – the camera’s not great, but I have a camera for taking photos. Battery life is not amazing, I just charge it overnight.
On the Xoom – I’m not sure that Google’s acquisition of Motorola will have much impact on the current tablet. It was all designed and built a while back.
Hope that helps.