A smaller iPad would also suggest that Apple's management team is establishing its independence. In an October 2010 conference call with analysts, former Apple CEO Steve Jobs dissed for quality tablet apps.

In addition to the rumored "iPad Mini," Apple reportedly is building the next-generation iPad 3 with a higher-resolution, 2048 by 1536 pixel display, according to various sources, including . The iPad 2's screen is 1024 by 768 pixels.

The iPad 3 will arrive in early to mid-2012, rumors say. Or will it?

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