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There has been an event of rumors in past couple of Days about the 'Smaller, cheaper' iPad coming this year,'.

WELL SOURCES SAID THAT THIS WASN'T AN FALSE ALARM and Apple is really Keen to launch the Smaller and

cheaper iPad which going to be launched soon in this year (May be in Near September).

The company is developing a new tablet with a 7.85-inch screen that is likely to sell for significantly less than

the latest $499 iPad, with its 9.7-inch display, according to several people with knowledge of the project who

declined to be named discussing confidential plans. The product is expected to be announced this year.

As this move of Apple is seen now as giving in an rivalry to the Microsoft Surface, Google Nexus 7 and

latest Kindle Fire, but sources said that kindle Fire is also in play now an which is said to be working

on a new version of the Kindle Fire with a larger display, While the sources does not specify the new

display size, earlier reports suggest that Amazon may introduce a 10.1-inch model later this year, with

a release date rumored to be as soon as July 31st.

Apple’s plan for a tablet with a smaller screen is part of a textbook business strategy: to lure customers

who want different sizes of tablets into the iPad product family, say analysts and technology industry

executives. The strategy would most likely include devices with different prices and functions tailored to

various uses, they say. The idea is to help Apple solidify its dominance in the tablet market even as the

richest companies in the tech business are trying to figure out how to outflank Apple.

"The most credible challenge right now to the iPad appears to be Google’s Nexus 7, an Android device

that costs $199 and is of the company’s own design. With a seven-inch screen, the Nexus 7 has already

won enthusiastic reviews for its software and battery life — and, of course, its size and price.

In addition to creating the Surface, which could go on sale as early as the fall, Microsoft has also

agreed to invest up to $605 million in Barnes & Noble’s Nook business. The move helps bolster another

Apple rival in the tablet market, one that could end up using Microsoft’s software for its products. "

But still Apple is dominating the Tab Market and other companies are still behind and learning about the

market yet !!! So it's 5 Years more to Apple in the Market.

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