Using an iPad as a note taking device

I'm a pretty bad student, positively awful in fact. I don't like paper notes, I lose them all the time; they only show up after I've sat an exam. I started taking my laptop in to lectures only to end up just surfing the internet instead. Taking notes on a computer is pretty hard anyway, especially if there's something visual I want to put down.

Instead, inspired by apps like paper and so on, I'm thinking about getting an iPad. I like the idea that I can supplement notes with drawings and can sync the notes back to a computer. That the iPad only ever has 1 app shown at a time would probably deter me from constantly switching in and out of the browser. What I wanted to know is just how useful is an iPad as a note taking device? Does anybody use an iPad for taking notes in a lecture? What's your setup and how do you feel it works?