With Google unveiling its Nexus 7 tablet at the annual I/O Conference on Wednesday, rumors are on a hike that Apple is also eyeing on 7-inch tablet market. Apple's 7-inch tablet dubbed iPad Mini could release as soon as this October, if the latest reports are believed.
Google's Nexus 7 tablet is in direct competition with Kindle Fire rather than being a competitor against Apple iPad. However, packing a powerful processor and affordable price tag, Google can easily sell millions of models of Nexus 7 tablet, which eventually will prompt Apple to work on a smaller iPad targeting the 7-inch tablet market.
"They're going to have to care about that [7-inch tablet] market. I don't think Apple will have the luxury of ignoring the form factor entirely," said James McQuivey, an analyst with Forrester Research. "Between the Fire and the Nexus 7, 10 to 12 million of these will be in people's hands by the end of the year. That will pale in comparison with the iPad numbers, but Apple will start to feel it."
Android manufacturers have tried various approaches to outgun Apple iPad in sales, where 7-inch form factor and sub-$200 price tag turned out to be most successful. However, the 7-inch tablets are still way behind Apple iPad in features and sales. Nonetheless, Nexus 7 tablet is an Android powerhouse with impressive hardware and software specs, which will sell for just $199.
Pacific Crest analyst Andy Hargreaves outed a research note on Thursday claiming that Apple will launch iPad Mini in October. He claims that the tablet will have 7.85-inch display and will come with 8GB of internal storage. In addition, Apple will also launch 16GB iPad Mini in replacement for 16GB iPad 2, which is currently selling for $399.
According to Hargreaves, Apple is also likely to refresh new iPad with oxide TFT display technology, upgraded camera and lighter battery in October.
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