Apple reveals iPad Mini

The new device starts at $329, way above competition tablets

Topics: Apple, iPad, kindle, IPad Mini, Tablet, ,

SAN JOSE, Calif. — Apple Inc. is refusing to stoop to the level of its rivals in the tablet market — it’s pricing its new, smaller iPad well above the competition.

On Tuesday, the company revealed the iPad Mini, with a screen that’s about two-thirds the size of the full-size model, and said it will cost $329 and up.

Apple starts taking orders for the new model on Friday, Oct. 26, said marketing chief Phil Schiller at an event in San Jose, Calif. Wi-Fi-only models on Nov. 2. Later, the company will add models capable of accessing “LTE” wireless data networks.

The price fits into the Apple product lineup between the iPad 2 at $399 and the latest version of the iPod touch at $299. But company watchers had been expecting Apple to price the iPad Mini at $250 to $300 to counter the threat of less expensive tablets like Amazon’s Kindle Fire, which starts at $159.

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Apple shares fell $14.83, or 2.3 percent, to $619.20 when the price was announced. Shares of Amazon.com Inc. were down 12 cents, or less than 0.1 percent, at $233.66 while the rest of the stock market was in retreat.

The iPad mini weighs 0.68 pounds, half as much as the full-size iPad, and is as thin as a pencil, Schiller said.

The screen resolution is 1024 by 768 pixels, the same as the iPad 2 and a quarter of the resolution of the third-generation iPad. Like the iPad and iPhone, it has two cameras, one on the front and one on the back.

“It’s not just a shrunken-down iPad, it’s an entirely new design,” Schiller said.

Company watchers have been expecting the iPad Mini for a year, and most of the details, except the price, had leaked out. More surprisingly, Apple also said it’s upgrading its full-size iPad tablet just six months after launching a new model, doubling the speed of the processor. Previously, the company has updated the iPad once a year.

The fourth-generation iPad will have a better camera and work on more “LTE” wireless data networks around the world. Apple is also replacing the 30-pin dock connector with the new, smaller “Lightning” connector introduced with the iPhone 5 a month ago.

The price of the new full-size model stays the same as the previous version, starting at $499 for a Wi-Fi-only version with 16 gigabytes of memory.

Apple has sold more than 100 million iPads since April 2010.

___

Svensson contributed from New York.

 

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