An iPad Mini?

There is a reason why Apple Inc. (NASDAQ: AAPL) is on top of the technology world and a hit with consumers across demographics --- the company doesn't waste time bringing out updates to popular products.

Less than a week after the release of the widely-anticipated iPad, another version of the tablet computer is rumored to be in the works.

Mingchi Kuo, research analyst with DigiTimes Research, said that the so-called "iPad mini" will have a screen size between 5 to 7 inches compared to the current devices 9.7 inch display.

According to Kuo the device will ship during the first quarter of 2011 and will be priced under $400. Kuo was citing sources spoken to within the component manufacturing industry.

The smaller device will be an attempt by Apple to appeal to those consumers who are not concerned with large amounts of text typing, and are looking for a highly portable multimedia reading device.

Kuo added that Apple is unlikely to receive much competition from other tablet devices like the upcoming Hewlett Packard Slate PC, as the HP device will be slower and more power-hungry as it will use an Intel Corp. (NASDAQ: INTC) processor.

The launch of the iPad has been successful so far, as the company sold 300,000 units on the first day of release and CEO Steve Jobs said on Thursday that 450,000 iPad have been purchased.

Shares of Apple are down 51 cents on Thursday in late market movement to $240.09.

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