The Iconia-6120 is powered by a dual-core 2.66GHz Intel Core i5-480M processor -- an Arrandale chip, not Sandy Bridge. Although the last-gen part undoubtedly sacrifices some performance and efficiency, it's still capable of 1080p video playback and should be sufficient for standard use.
The system also equipped with 4GB of DDR3 1066MHz RAM, a 640GB 5400RPM hard drive, a 1.3-megapixel webcam (1280x1024), one USB 3.0 and two USB 2.0 ports, HDMI-out, Gigabit Ethernet, 802.11b/g/n Wi-Fi, and a four-cell 3000mAh battery that offers around three hours of runtime.
Since the Iconia relies solely on touch input, Acer preloads a ton of proprietary software. You can activate a virtual keyboard, numpad and touchpad on the bottom display for a more traditional experience. The predictive text feature should catch enough typos to make the experience bearable.
There's also mention of handwriting recognition software as well as a social media hub with access to services like Flickr, Facebook and YouTube. We imagine Acer has also implemented various gesture controls along with touch-optimized applications for web browsing, music, photos and videos.