...in this wired cover piece.
The magazine industry, including Wired parent Condé Nast, is having a hard time. And Wired magazine, despite being fascinated by the internet revolution, is itself primarily a traditional paper magazine--just look at the layout of the Wired article linked above.
Some Wired executives have apparently pinned their hopes on the iPad, thinking that it'll save them from the death of print. And those hopes have clouded their judgement here; the web is still growing like crazy. And your iPad experiment, despite its initial burst of "oh, look, shiny!" sales, is too expensive to keep going like it did at the beginning.
Sorry, Chris Anderson--you did get it right with "the long tail", but now you're scraping the bottom of the barrel with your trend-spotting predictions.