A few months ago Macworld asked where's the iPad's Dvorak keyboard? Well, in the iPhone SDK 3.2 Beta 5, which was released on Tuesday, there's support for hardware Dvorak keyboards in the OS; however, still no sign of a soft keyboard layout for Dvorak fans.
A source sent us the above screen shot from the iPad simulator, showing Dvorak layouts as a hardware choice -- and if you've seen a Bluetooth Dvorak keyboard lately, let us know. This setting would presumably allow you to use a standard keyboard with the Dvorak layout, however, and apply stickers to the keys if needed.
Apple's official tech specs for the iPad still only list keyboard support for the following: English (U.S.), English (UK), French (France, Canada), German, Japanese (QWERTY), Dutch, Flemish, Spanish, Italian, Simplified Chinese (Handwriting and Pinyin), Russian.
As Wikipedia states, on a Dvorak keyboard, the letters and frequently-occurring punctuation are organized the letters and frequently-occurring punctuation "so that the cumulative distance traveled by the 10 fingers when touch-typing typical English text is closer to the minimum than when touch-typing that same text via the dominant QWERTY layout. This reduction in distance traveled was originally purported to permit faster rates of typing, but in later years is also purported to reduce repetitive-strain injuries, including carpal tunnel syndrome." The Dvorak keyboard was patented in 1936 by August Dvorak.
[Update: In the original post I used the explanation of a Dvorak keyboard from Wikipedia. While I did originally link directly to the Wikipedia article in the paragraph, I failed to explicitly state or use quotations that I had done so. I apologize for any confusion that this caused and thank the readers who pointed my error out. The error was mine and mine alone.]