What are you using xbmc on the ipad for? if it's for streaming video over a network i found viPlay to be great... I'll use it to watch movies in bed with the iPad... it was worth the couple $ it cost for the full version
I came to the same conclusion last night and updated. Setup Plex on my server and downloaded the app. Works great and streams my database over the net. Plex only works with MP4's as my server can't do transcoding, got Nplayer for those files that Plex won't do.