Apple may decide to reintroduce the ageing iPad 2 as a reduced $299 offering after the rumoured iPad 3 launch later this month.

With Apple looking to offer two or more iPad models, the release of the iPad 3 is expected to be in the next few weeks at the iWorld expo on January the 26th-28th, we hear that this new model may mean that the current iPad 2 will come in at a lower price as a result, and that the iPad 3 may come in two variations also.

The new iPad 3 is rumored to be coming with a 9.7 inch QXGA screen and a display resolution of some 2048 x 1536 with an A6 SoC.

But there is talk that this new iPad may have a slightly weaker cousin with a less able camera and poorer quality screen, with subtle differences such as the lower priced model having only a 5 MP camera, and using a 1024 x 768 resolution while the more expensive iPad will have an 8MP offering, exactly what else will be added to the new model remains to be seen.

Apple supply chains confirm that the current iPad 2 will probably be slashed in price:

With the talk of a reduced price iPad, this should allow Apple to compete with the Amazon Kindle Fire, which it is thought ate into around 2 million lost iPad sales over the festive period. Yes Apple are scared of the e-commerce monster, and so they should be.

There is also a rumour emerging that they may bring in another cut price version of the iPad 3 or iPad 2 with only 8GB of memory to really compete on price with the likes of the Amazon Kindle Fire, Barnes and Noble Nook and expected Google Tablet.

iPad 3 to be $100 cheaper iPad 4 to arrive with killer applications later:

It is also thought that the new iPad 3 could be due a price reduction form the flagship high process that their current models command, and there is also an even more juicy rumour that an iPad 4 could be due for release at the end of the year with a serious upgrade to the operating system and “killer” applications.

Are you looking forward to the new iPad 3, or more interested in the serious upgrade that the iPad 4 may prove to be later on in the year?

We have already discussed the iPad 3 release date in an earlier article. Now rumours seem to suggest it will arrive at a similar time as we predicted, or at least we will see a glimpse of it around the time we originally anticipated.

Digitimes, the perennial gossip mongers of the tech world have got their knitting needles out again, and they are talking of a return by Apple to a show now known as iWorld which was formerly MacWorld Expo.

At the show, which will be held next year on January 26th, Apple are rumored by supply chain partners to be demonstrating their new cut price iPad, and the new iPad 3, where these new models will join the rest of the iBrigade.

iPad 3 and iPoor 1?

The new models will see the cheaper version pitched against plucky contenders such as the Amazon Kindle Fire, and the other iPad 3 obviously holding the Apple flag high, as the kind of the tablet jungle.

Specification updates:

Processors are still rumoured to be supplied by Samsung, with Sharp delivering the new improved display that will still feature the same 9.7 inch screen.

There could be dual LED bars that will help brighten the iPads overall brightness levels. This rumour appears to have legs as Minebea are now part of this supply chain and they specialise in Backlight units (BLU’s)

Battery’s to be monsters:

Dynapack International Technology and Simplo Technology have secured orders for batteries of the iPad, with the rumour that one at least will have a very high capacity of 14,000 milliampere-hour (mAh) which will be used in the new iPad’s. Though we are not sure if one of these manufacturers will make a less powerful battery for the cut price model.

What do you think of the news? A tall story? Or, like us, can you imagine that this could have some weight?

Let us know your thoughts on the new iPad 3. And if you have heard anything remotely sounding like the truth, get in touch and let us know!