Apple Rumor: 7.85-inch iPad in 2012

Is Apple planning to release a new 7.85-inch iPad in 2012?

Via Digitimes:

Apple is likely to launch a 7.85-inch iPad prior to the fourth quarter of 2012 in addition to a new iPad scheduled to be released at the end of the first quarter, according to sources in the supply chain.

Global shipments of tablet PCs are expected to reach 60 million units in 2011, of which 70% will be Apple’s iPads. To cash in on market demand as well as market expectations, Apple is expected to release its next-generation iPads at the end first-quarter 2012, said the sources.

However, in order to cope with increasing market competition including the 7-inch Kindle Fire from Amazon and the launch of large-size smartphones from handset vendors, Apple has been persuaded into the development of 7.85-inch iPads, the sources indicated.