Apple Could Kill the Game with a 7-Inch iPad This Fall

Three years after launching a 10-inch iPad that soon became the benchmark for the entire tablet industry, Apple could be on track to unleash hell on earth for competitors by launching a smaller version catering to even broader audiences.

According to a new research by Strategy Analytics, if these rumors hold any water, Amazon is the red dot on Apple’s radar.

A paper titled “Will Apple Hit Amazon Where it Hurts With An iPad Nano?” looks at the possibility of Apple launching a 7-8 inch iPad nano later this year.

Authors Matthew McKee and Peter King are convinced that such a move will create “tremendous” roadblocks for the likes of Amazon and Barnes & Noble, who are mentioned as “the current leaders in this subcategory.”

McKee specifically said that, “If industry speculation is true, Apple will release a smaller version of the iPad later this year, directly challenging the Kindle and the Nook, creating an entirely new market segment for Apple.”

“Assuming a price of as little as $299, the smaller device would offer cost and portability advantages, which could propel Apple to the top of the 7-inch tablet space, in addition to its number one position for 10-inch tablets,” he said.

Peter King, director of tablets & touchscreen strategies at Strategy Analytics, believes content is key.

Second in rank comes the user experience, he says, though someone who used to run Apple until last October may have had a different view of the whole shebang. But King’s overall analysis isn’t half bad.

“Device value is determined by what consumers can read, play, or watch on their tablet, and about the user experience, something that has been sadly lacking in the $200 Tablets,” he said.

He added, “Amazon’s Fire launched with strong sales due largely to its content library and the large number of available apps. Apple can rely heavily on iTunes and its apps ecosystem.”