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As a general rule a current model laptap will be underpowered compared to current model desktops.
Yes, people do all their work on laptops. My only machine at work is a laptop (which most of the time is plugged in to a regular keyboard, regular mouse, and a 21" monitor).
Tablet computers will eventually be as computationally powerful as current desktops and laptops (and for the most part are already technically capable of doing almost everything that most people use current desktops and laptops for). But the point is that they are in a form factor where very few people will actually WANT them to do that.
You can get some version of pretty much all the productivity software for iPad. You can edit movies, you can create presentations, you can use spreadsheets, you can edit sound, you can do Photoshop stuff. It's just that generally people don't want to do that for any length of time on a 7" screen.
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