Well, something recent: I got my 'New iPad' and was setting it up. The screen in iTunes said to enter (something) and so I entered my 'Apple ID' which at the time was my .me email address. Well, the system puked on that and said 'that ID is already in use and can't be used again'. Well, duh it's already in use. It's my freaking EMAIL ADDRESS!!!
So I try again to see if maybe I typed the ID wrong, but nope, I get the same error and I'm stuck, can't go any farther... Period... So I enter one of my work email addresses, and next thing I get is a series of emails about changing passwords and some other stuff about welcome to Apple...
Well, I try to update my older iPad and *BOOM* I get the message that I can't. 'Your Apple ID is not working' and I put two and two together... I called Apple Support and tried to get an idea on what the hell happened. I told them that it was stupid that it appeared to block me using my me.com address for my Apple ID. They insisted that I could use it, that there was nothing blocking me from using it, but I couldn't get it to work through iTunes and it now assumed that I wanted to use one of my work emails as my Apple ID. MAJOR FAIL!!! Like WTF!!! What the hell, man!!!
So, from my experience with my 'new iPad', it's not working, and not worth a **** having your me.com email address the same as your Apple ID. Your mileage may vary, but it didn't work with me and my me.com address...
Come to think of it, what the heck did the initialization routine even care. I figured that if it was asking for my 'Apple ID', and my Apple ID was my me.com address, well then what the hell... It shouldn't want to flip my Apple ID away from me.com. It should just handle it...
So, no, it isn't merged, or isn't working... BOO!!!