Late last year, Apple introduced the iPad mini alongside an update to the full-size iPad lineup, with many observers believing that Apple would continue to update the two lines simultaneously going forward.

Mockup of fifth-generation iPad next to iPad mini
A new report from Digitimes claims, however, that the next-generation iPad may appear as much as several months before the next version of the iPad mini.

Volume production of a new-generation 9.7-inch iPad will begin in July-August with shipments in the third quarter estimated at five million units. Meanwhile, a second-generation iPad mini may see its volume production postponed from September to November, according to Taiwan-based supply chain makers.

The updated full-size iPad is widely expected to see a significant redesign that will take design cues from the iPad mini and be roughly 15% thinner and 25-33% lighter than the current models.

Digitimes believes that Apple may be pushing back the next iPad mini launch in part to give more focus to the redesigned full-size iPad in the face of the iPad mini's popularity, but also due to mass production issues with the iPad mini, which has been rumored to be gaining a Retina display. Today's claims from Digitimes are not necessarily new, but they do provide a fresh direct comparison between Apple's potential plans for the two iPad lines.

Reliable KGI Securities analyst Ming-Chi Kuo had previously reported that technical challenges would likely see the next iPad mini pushed back from Apple's original internal timeline, with an introduction likely coming in the September-November timeframe rather than earlier as some had thought. Digitimes' claim today suggests that the launch could be at the end of that timeframe, bumping up against the holiday shopping season.

Apple today significantly reduced prices on refurbished models of the iPad mini and fourth-generation iPad, with all models now carrying approximately 15% discounts relative to brand-new units.


iPad mini

- 16 GB Wi-Fi: $279, down from $299 previously and $329 brand-new
- 32 GB Wi-Fi: $359, down from $389 previously and $429 brand-new
- 64 GB Wi-Fi: $439, down from $489 previously and $529 brand-new

- 16 GB Wi-Fi + Cellular: $389, down from $429 previously and $459 brand-new
- 32 GB Wi-Fi + Cellular: $469, down from $519 previously and $559 brand-new
- 64 GB Wi-Fi + Cellular: $549, down from $619 previously and $659 brand-new

Fourth-generation iPad

- 16 GB Wi-Fi: $419, down from $449 previously and $499 brand-new
- 32 GB Wi-Fi: $499, down from $549 previously and $599 brand-new
- 64 GB Wi-Fi: $579, down from $649 previously and $699 brand-new

- 16 GB Wi-Fi + Cellular: $529, down from $579 previously and $629 brand-new
- 32 GB Wi-Fi + Cellular: $609, down from $679 previously and $729 brand-new
- 64 GB Wi-Fi + Cellular: $689, down from $779 previously and $829 brand-new

Introduced last October, the iPad mini and fourth-generation arrived in Apple's online store for refurbished products in mid-March at modest discounts. The company's 128 GB fourth-generation iPad models introduced in early February have yet to appear in the refurbished store.

Rumors have indicated that Apple is unlikely to launch its next versions of the iPad and iPad mini until late this year, but the company has apparently still decided to reduce pricing on refurbished units of the current generation in order to attract more buyers as its supply of refurbished units has undoubtedly grown over the past several months.

Update: Apple has also knocked $30 off of the price of its refurbished Thunderbolt and LED Cinema Displays, bringing the prices down to $799 compared to $999 brand-new.

Pegatron, a contract manufacturer for Apple that makes the iPad mini and the iPhone 4S, among other products, said today that its second quarter consumer electronics revenue will drop 25 to 30 percent from the previous quarter, reports Bloomberg.

The company says there is a decline in revenue from iPad mini production is "more on demand, while price has been stable", but CEO Jason Cheng also noted that "almost every item is moving in a negative direction" for the quarter. "Not just tablets, also e-books and games consoles".

The iPad Mini accounts for more than half of Pegatron’s consumer-electronics revenue, and the iPhone 4S contributes a majority of sales in the communications division, Cheng said.

"This is a bigger drop than we’d expected," said Vincent Chen, who rates the company buy at Yuanta Financial Holding Co. in Taipei. "We’re seeing strong indications from the supply chain that demand for iPad Mini will now fall 20 percent to 30 percent from the first quarter, instead of an earlier 15 percent estimate."

In its quarterly results report in April, Apple issued guidance for expected revenue for the June quarter of $33.5-35.5 billion, a drop in revenue of some 20 percent from the prior quarter.

Reports have indicated that mass production of the display for a Retina iPad mini should begin in June or July, for a planned release well into the third calendar quarter of 2013.

Update: Fortune reports that Pegatron CEO Jason Cheng has clarified the situation, noting that in no way did he indicate weakening iPad mini demand was responsible for the company's projected revenue decrease. The association with iPad mini demand appears to have simply been speculation by Bloomberg based on the device being responsible for a significant portion of Pegatron's consumer electronics division revenue. In an email to Fortune, Cheng wrote:

After the meeting, one reporter from Bloomberg approached me, trying to dig out detail numbers about some specific product. I clearly refused to comment on specific products, nor customers, even though he continued with other questions. I did say those words that he quotes me in the article "more on demand, while price has been stable"…, "almost every item is moving in a negative direction"...; "Not just tablets, also e-books and games consoles". But I did not say anything associated with any specific products.

"No indication, nor hint for specific products or customers" has been our principle and guideline for any public events such as investors conference. There are always speculations after these meetings.

Following a somewhat confusing report earlier this week in which NPD DisplaySearch analysts first indicated that a Retina iPad mini would not appear until the first quarter of 2014 before quickly issuing a correction stating that a third quarter refresh would bring the Retina display to the line, the firm has now told CNET that production on those Retina display panels should begin in June or July.


The timing would not be a tremendous surprise given that the firm just said that the device should begin shipping in the July-September quarter, although other sources have indicated that it may not appear until somewhat later in the year. DisplaySearch's Richard Shim also claims that current iPad mini display supplier LG Display will maintain a prominent role in production of the new Retina displays, and that Samsung will remain out of the display supply picture.

"We should see the start of mass production of the panels in June or July," said Richard Shim, an analyst at NPD DisplaySearch.

LG Display will be one of the major manufacturers of the display, he said, adding that Samsung is not a supplier for the Mini.

"Samsung is currently not in the iPad Mini and they won't be in the next generation. LGD is becoming a much bigger supplier than before," he said.

LG is reportedly the main supplier for display panels in the current iPad mini, with AU Optronics also responsible for a significant portion of the supply.

Also unsurprising is Shim's claim that the Retina iPad mini will adopt the same 2048 x 1536 resolution seen on the full-size iPad's Retina display, albeit at a higher pixel density to fit the iPad mini's smaller physical size. Maintaining consistent resolution across the iPad lineup allows developers to target a single screen size with their apps, simplifying their work.

On last month's earnings conference call, Apple CEO Tim Cook appeared to specifically temper new product expectations for the next several months, mentioning that Apple had a number of great products coming "in the fall and across all of 2014."

In a bit of a confusing sequence of events, CNET reports on claims from NPD DisplaySearch analysts who see Apple having two Retina iPad mini devices in the pipeline, including an initial launch in the third quarter of this year followed by a second update in the first quarter of next year.

"We see two refreshes coming. One in the second half of this year, then one in Q1 [first quarter] of 2014," analyst Richard Shim told CNET late Sunday night.

"The Q1 [2014] device will have a Retina display plus an updated processor," Shim added.

CNET's report had initially cited Shim as saying that the Retina display would not appear until the early 2014 model, but less than two hours later the report was revised to state that the 2013 model will also have a Retina display. The new quotes from Shim do not actually refute the original claim, but based on CNET's reporting it appears that additional information he provided does indicate that a Retina display will be included in the next iPad mini.


KGI Securities analyst Ming-Chi Kuo last month reported that technical challenges related to production of a Retina iPad mini will likely see the device debut somewhat later than many have expected. While he declined to offer a specific prediction for the iPad mini launch, he did outline three scenarios showing launches in the September-November timeframe.

Rumors of Apple looking to accelerate its upgrade cycles have persisted for several years, and they did come to fruition late last year with the introduction of an updated iPad just seven and a half months after the previous model. That launch did, however, coincide with the debut of Apple's new Lightning connector, so it is unclear if the short cycle for the full-size iPad is indicative of a larger trend or if it was simply a one-time effort to adjust Apple's launch timing and roll out the new connector across all of its latest-generation mobile devices.

Research firm IDC today announced its preliminary estimates of worldwide tablet shipments for the first quarter of 2013, finding that Apple's share of the market continues to slide as competitors begin to gain footholds in the market, although the firm notes that Apple did exceed expectations. Apple held a 39.6% share of the market for quarter, compared to 43.6% in the previous quarter and a 58.2% share in the year-ago quarter.

Worldwide Tablet Shipments in 1Q13 in Millions of Units (Source: IDC)

Apple outperformed IDC's most recent projections for the quarter, shipping 19.5 million units compared to a forecast of 18.7 million units. The company, which historically has experienced a steep drop off in first quarter shipments (following strong holiday sales in the fourth quarter), saw some smoothing of that seasonality this year. [...]

"Sustained demand for the iPad mini and increasingly strong commercial shipments led to a better-than expected first quarter for Apple," said Tom Mainelli, Research Director, Tablets at IDC. "In addition, by moving the iPad launch to the fourth quarter of 2012, Apple seems to have avoided the typical first-quarter slowdown that traditionally occurred when consumers held off buying in January and February in anticipation of a new product launch in March."

Samsung and Asus in particular saw strong performances during the quarter, with each seeing year-over-year shipment increases in excess of 250% compared to Apple's 65% growth. Still, Apple's share of the market is more than double that of second-place Samsung. In looking at operating systems, Android now outships iOS, with Android taking 56.5% of the market and iOS taking just under 40%.


It is important to note that IDC's numbers track shipments instead of sales, and thus how many shipped devices are making their way into consumers' hands remains unclear. IDC's figures are also estimates, as a number of companies do not release their exact shipment data and thus research firms must rely on supply chain data and calculations from information that is made public by manufacturers to build their estimates.

Along with his recent research note addressing Apple's notebook launch plans, KGI Securities analyst Ming-Chi Kuo has also published a note examining Apple's iPad prospects.

In particular, Kuo looks to the iPad mini as the future of the company's iPad portfolio, but with Apple's efforts to bring a Retina display to the device said to be pushing a launch back to the fourth quarter of this year, he suggests that Apple may be looking at a lower-priced iPad mini.

Prior to iPad mini 2 launch, Apple might roll out a more affordable iPad mini to compete with Android products. To cut costs, Apple might push for lower component prices, use a more advanced process to produce the A5 processor, simplify metal casing production, remove the rear camera, cut storage to 8GB and find more component suppliers to lower costs. We think this cheaper iPad mini retail for US$199~249.

Kuo does not believe that such a device would offer a significant boost to Apple's overall iPad sales, but it could help stave off erosion at the low end of the market at the hands of cheaper Android-based tablets.


The $199-$249 price range is one that many potential customers had hoped Apple would be able to hit with the original iPad mini, but the company surprised many by introducing the iPad mini starting at $329. Even at that pricing, Apple has noted a number of times that the iPad mini's profit margins are below the company average.

Apple is said to be pursuing a similar strategy for the iPhone, working on a lower-cost iPhone with a polycarbonate shell rumored for launch later this year.

Overall, Kuo sees relatively small sales growth for the iPad in 2013, with the full-size iPad being cannibalized by the popular iPad mini and the upgraded iPad mini with Retina display not debuting until late in the year.

With Android tablets also beginning to gain footholds in some markets and driving Apple's estimated share of the tablet market below 50% in recent quarters, Kuo expects that Apple will remain competitive but see relatively slow growth until the launch of the Retina iPad mini.

Back in January, reliable KGI Securities analyst Ming-Chi Kuo laid out a thorough roadmap of his expectations for Apple's product launches in 2013, pointing to a very busy third quarter for the company with launches for updated iPhone, iPad, iPod, and Mac notebook lines. As recently as last month, Kuo was targeting a June/July launch for the new iPhone models, with a version specific to China Mobile arriving a bit later in September.

Kuo has released a new report today indicating that a number of challenges appear to be pushing back the release of the new iPhone and iPad mini models relative to his previous predictions and general market consensus. As a result, Kuo believes that Apple's third quarter may see much smaller shipment growth than previously expected. Apple of course has not announced its launch plans, so any "delays" are relative to these market expectations and not necessarily Apple's internal plans.

Earlier we estimated that shipments of the new iPhone would begin in July (FDD version) and September (TDD version), while iPad mini 2 would hit the market in August. Currently, market consensus for shipments of iPhone 5S, low-cost iPhone and iPad mini 2 is July, July, and August, respectively. But in light of publicly available information and our knowledge of technological trends, we now think all three products will begin shipments later than our previous expectation and market consensus.

Kuo does not provide a new specific target date for the launches of the updated models, instead laying out a series of three scenarios modeling how Apple's shipments could be affected based on August/September, September/October, and October/November timeframes.


As for details on the challenges facing Apple, Kuo lays out the following issues:

- Fingerprint sensor for iPhone 5S. Work on finding the right color coatings in order to prevent interference with the sensor offers a technical challenge for Apple, and software integration in iOS 7 will also require additional work.

- Color coatings for lower-cost iPhone. Apple's lower-cost iPhone has been rumored to be arriving with a plastic shell in a number of different colors, and Apple's efforts to keep the shell as thin as possible will likely lead to production ramping issues for coatings and surface treatments.

- iPad mini Retina display. Kuo expects the second-generation iPad mini to adopt a Retina display, and technical challenges related to its design and manufacture are likely to slow Apple's release timetable.

As a result of later-than-expected launches, Kuo currently predicts that Apple will see only single-digit growth of total iPhone/iPad shipments year-over-year for the third quarter of 2013, far below current market expectations of 30-40% growth.

Kuo's report comes as Morgan Stanley's Katy Huberty has released her own report projecting new iPhone launches for September following an iOS 7 preview at Apple's Worldwide Developers Conference (WWDC) expected in June. Huberty projects that Apple will show off a new "killer app" such as mobile wallet at WWDC, with the new iPhone and iPad hardware following several months later.

Last week, we noted that the U.S. Patent and Trademark Office (USPTO) had issued an initial office action denying Apple's application for a trademark on the term "iPad mini".

The examiner's primary objection to Apple's application related to all of the elements of the "iPad mini" name having been judged as descriptive rather than contributing to a unique product name. A second objection related to Apple's use of the iPad mini overview page as its specimen proving that the named product was being offered for sale.


At the time, we noted that a resolution to the issue would likely be relatively straightforward, with Apple simply needing to show that the "iPad mini" term was an extension of its already distinctive "iPad" trademark and submit a new specimen satisfying the examiner's objection.

Based on a newly published office action from the USPTO, dated last Wednesday, the issue has in fact mostly been resolved without Apple having had to address the examiner's objections. Presumably responding to the publicity surrounding the initial decision, the USPTO has preemptively withdrawn its two main objections to Apple's objections.

This Office action supersedes any previous Office action issued in connection with this application.

Upon further review of the application, the examining attorney has determined that the following refusals issued in the initial Office action should be withdrawn. The examining attorney apologizes for any inconvenience caused.

REFUSALS WITHDRAWN:

The Trademark Act Section 2(e)(1) descriptiveness refusal and the Sections 1 and 45 specimen refusal are both withdrawn.

The new document continues to alert Apple to several other issues with the trademark application, including potential refusal should earlier pending applications from other companies seeking to protect the names of their electronics products with "mini" in them end up being granted. No action on this issue is, however, required by Apple at this time.

The document also holds firm on the requirement that Apple add a disclaimer to its application noting that it only seeks to protect the term "mini" when used as part of the "iPad mini" name. The disclaimer would allow other companies to use the "mini" term in their own product names.

In a Branch chat, which at the time of this writing is still going on, Daring Fireball's John Gruber says, according to what he's heard, iOS 7 is running behind schedule and that it will bring a significant user interface (UI) refresh.

What I've heard: iOS 7 is running behind, and engineers have been pulled from OS X 10.9 to work on it. (Let me know if you've heard this song before.)

Gruber went on to say that he's heard that iOS 7 is a "significant system-wide UI overhaul" and the iOS engineers who are allowed to carry around devices with iOS 7 on them even have special privacy filters on their devices which reduces viewing angles. This is to prevent others from accidentally getting a glimpse of the new iOS design.

Back in 2007, Apple delayed the release of OS X Leopard to concentrate work on iPhone. Gruber hints that this could be the case with Mac OS X 10.9 and iOS 7.


iMore's Rene Ritchie follows up Gruber's comments, saying that he's heard that Ive's work with iOS 7 is "making many people really happy, but will also apparently make rich-texture-loving designers sad."

His comments come during a Branch talk that includes Gruber, Ritchie, TechCrunch's MG Siegler, Engadget's Tim Stevens, The Next Web's Matthew Panzarino and more.

Ritchie follows up his earlier predictions, noting that he's heard that an event for a new, 9.7-inch iPad is or was planned for April, but it was contingent upon the new iPad being ready for release. He also notes that he's hearing the iPhone 5S will arrive in August, although Ritchie also says it could be a July/August window rather than a specific month.

As for what could be on the iPhone 5S, both Siegler and Panzarino say they've heard a lot about biometrics on the new device. The feature would apparently be used for payments and identification. Panzarino notes it wouldn't be surprising to see AuthenTec's biometric technology in Apple devices so soon after Apple purchased the company last July because of the urgency of the deal.

Finally, Siegler says he's heard "a whisper" that Apple's Passbook team is due for a shakeup and is in "shambles," though Ritchie points out that Forstall's departure could be the reason for the Passbook team's troubles.

Over the weekend, Patently Apple reported that the U.S. Patent and Trademark Office had refused Apple's trademark application for the term "iPad mini". While some such as The Verge's Nilay Patel were quick to note that the refusal was simply a first office action that is nowhere near final, the refusal does offer an interesting glimpse into the thinking of patent examiners.

The examiner's primary objection to Apple's application takes the view that the term is "merely descriptive" rather than creating a unique brand name that is worthy of protection. The examiner argues that all elements of the name, including "i", "Pad", and "mini" are not unique to the product being named.

The term “IPAD” is descriptive when applied to applicant’s goods because the prefix “I” denotes “internet.” According to the attached evidence, the letter “i” or “I” used as a prefix and would be understood by the purchasing public to refer to the Internet when used in relation to Internet-related products or services. [...]

The term “PAD” is also descriptive of the applied for goods. The term “pad” refers to a “pad computer” or “internet pad device”, terms used synonymously to refer to tablet computers, or “a complete computer contained in a touch screen.” [...]

The term “MINI” in the applied for mark is also descriptive of a feature of applicant’s product.Specifically, the attached evidence shows this wording means “something that is distinctively smaller than other members of its type or class”.

The examiner goes on to suggest a means by which Apple could argue for uniqueness, noting that the company would have to specifically claim that its existing "iPad" trademark has acquired distinctiveness. This would appear to be a trivial argument for Apple to make, but it seems that it did not do so in its initial "iPad mini" application.

The examiner also notes that Apple should include a disclaimer noting that it is only attempting to claim a trademark on "mini" when used as part of the entire "iPad mini" term, as other companies should be permitted to use the descriptive term "mini" for their own products.

As a secondary objection, the patent examiner ruled that Apple's specimen submitted with the application was insufficient to prove that it was for a product being offered for sale. Apple's specimen showed the iPad mini overview page as it appeared at launch last year, with the examiner arguing that the "iPad mini" text and the "Buy Now" button were not in close enough proximity.

The mark and picture of the goods on the specimen are not sufficiently proximate to the “buy now” tab, and it is thus unclear what consumers would be purchasing by clicking on this tab.

Apple's "iPad mini" trademark specimen
As with the prior objection, the examiner in this case offers Apple several means to rectify this issue, including using an alternative specimen that more clearly shows the item is being offered for sale as of the date being claimed in the application, or a shift to an "intent to use" application that requires no initial specimen and instead requires that Apple simply show that at some later date it did indeed offer the item for sale.

Digitimes is reporting that Apple is set to cut shipments of iPad mini in the second quarter of 2013, according to its industry sources.

The cut is said to be a 20% reduction for the month of April, with steeper cuts potentially following in the remainder of the quarter, although the report does not specify whether the cuts are relative to previous production plans or to current-quarter output.

Apple has reportedly cut its shipments of the iPad mini to between 10-12 million units for the second quarter of 2013, according to industry sources. The figure is based on shipment information given from multiple sources who provide various components for Apple's iPad mini.

The decrease may be as high as 20% on month during April, the sources noted, and may continue to slightly decrease throughout the quarter to bring total shipments of the iPad mini to as low as 10 million units during the quarter.

The move comes two weeks after Apple started offering refurbished iPad minis on sale for the first time and may be tied to Apple devoting resources to the production of the next-generation iPad mini. The report claims, however, that competition from 7-inch tablets may also be playing a role.

Rumors of production cuts for Apple products are always difficult to put much stock into, as Apple's internal build plans are fluid as the company manages its nimble supply chain to adjust for demand and product transitions.

Apple CEO Tim Cook has also cautioned against reading too much into supply chain reports, noting that the company has multiple sources for many components and that yield rates may vary over time, meaning that supply chain reports typically offer incomplete pictures of Apple's production situation.

DisplaySearch analyst Paul Semenza speculated that, based on supply chain data, the next-generation iPad mini would be released in the third or fourth quarter of 2013. Reliable KGI Securities analyst Ming-Chi Kuo has also predicted a third-quarter release for the next iPad mini.

The next iPad mini has been rumored to include a Retina display with a resolution of 2048 x 1536, which would give it the same number of pixels as the full-sized iPad but with a higher-density 324 pixels per inch. However, iMore's Rene Ritchie, who has also been relatively accurate, has predicted earlier this month that an interim spec-bumped iPad mini could launch in April and claimed that a Retina display iPad mini doesn't "sound imminent."

Paul Semenza, an analyst at market research firm DisplaySearch, tells CNET that an iPad mini with Retina display could debut in the third or fourth quarter of this year.

"We're seeing potential in the third quarter of panel production for a higher-resolution iPad Mini," DisplaySearch analyst Paul Semenza told CNET today.

"When would the Mini be available? Could be third quarter or fourth quarter," he said, adding that the speculation is DisplaySearch's best guess based on supply chain data.

Unsurprisingly, Semenza tells CNET that his data points to a resolution of 2048 x 1536 pixels for the Retina display iPad mini, giving it the same number of pixels as the full-size iPad but at a higher density of 324 pixels per inch. He goes on to note that it would be a challenge for Apple and its display partners to pair that kind of display with the current iPad mini chassis at just 7.2 mm thick, hinting that the company may need to increase the device's thickness somewhat as it did when the full-size iPad moved to a Retina display.

Semenza says that LG Display is the strongest candidate to make the display, but that AU Optronics, Sharp, and Japan Display are other possibilities. Japan Display currently produces the display for the iPhone 5, but Semenza says that the company is looking at getting into tablets.

DisplaySearch's report falls in line with what KGI Securities analyst Ming-Chi Kuo predicted in mid-January, and Kuo has been fairly accurate in the past with his Apple product predictions.

iMore's Rene Ritchie has also been relatively accurate, and he reports that Apple is set to debut the new iPad mini as soon as next month. Ritchie says, however, that a Retina display "doesn't sound imminent", suggesting that an April iPad mini would not contain the higher-resolution display. If Apple moves to a biannual release for its tablets, the company could announce an iPad mini in April and a new Retina iPad mini later this year, matching all three predictions.

Mobiles Pie points to a forum thread [Google translation] at Chinese site WeiPhone sharing a number of photos of what may be the rear shell of the second-generation iPad mini.


The photos show a shell very similar to that of the current iPad mini, although from some angles it does appear to be slightly thicker. It is difficult to tell, however, whether the apparent increased thickness is a genuine design change needed to add a Retina display and accompanying battery improvements to the device or if it is simply a bit of an optical illusion due to the fact that the edges of the shell have not yet been chamfered as they are in the final product.


The photos also show a bright blue Apple logo and "iPad" text on the rear shell, but it is possible that this is simply part of the process used to create the mirrored logo and text as seen on the current product. Alternatively, it may be an effort to add additional color to the iPad mini as Apple did with the iPod touch last September and has been rumored to be using for an upcoming lower-cost iPhone.

Perhaps notably, the forum user who posted the images had posted back in December [Google translation] sharing images of what he said was the initial machining process for the iPad mini rear shell. Their legitimacy is, however, unconfirmed.

Update 12:24 PM: Nowhereelse.fr has taken a close look [Google translation] at the two photo sets from December and this week, noting in both sets the presence of boxes labeled "Catcher", which is indeed one of Apple's primary casing suppliers. The site believes, however, that the latest batch of photos is of the current iPad mini rather than a second-generation model.

According to a report from Digitimes, Apple supplier AU Optronics has managed to improve its poor iPad mini display yields, finally leading to increased availability of the current iPad mini and a solid infrastructure for the production of displays for the next generation mini.

Due to AUO's yield issues throughout the second half of 2012, cumulative shipments of the iPad mini were less than Apple's originally estimated 10 million units. However, the sources said AUO has solidified higher yields as of the first quarter in 2013, which will help keep the iPad mini in supply as well as most likely push up AUO's tablet panel shipments on year in 2013.

The iPad mini has been in short supply since its release in October 2012, after some models sold out just minutes after pre-orders began. Reports cited display production as the limiting factor, which led to ship times of up to two weeks.

Just today, we reported that Apple managed to reach supply-demand balance on the iPad mini. The tablet is now listed as "in stock" for immediate shipment from several online Apple Stores, which confirms the display yield improvements.

Digitimes is also reporting that AU Optronics has begun production of displays for the second generation iPad mini. Rumors have suggested that the next iPad mini will be equipped with a Retina display, and a report from November stated that AU Optronics was gearing up for production.

Retina is widely believed to be the next logical step for the iPad mini, and while there are no concrete hints on when an updated mini will be released, KGI Securities Analyst Ming-Chi Kuo recently predicted that both the iPad mini and the full sized iPad will be updated in the third quarter of 2013.

Apple appears to have finally achieved supply-demand balance on its popular iPad mini, with the company's online stores for the United States, Canada, Australia, and a number of other countries now showing all models as "in stock" for immediate shipment. European customers are still being quoted 1-3 business days for new orders, although these will likely move to "in stock" relatively shortly.


Supplies of the iPad mini have been constrained since the device's launch over three months ago, with early reports indicating that supplies would remain tight into 2013. Apple acknowledged those shortages on its earnings conference call last month, noting that it expected to catch up with demand later this quarter, in line with today's move to "in stock" status.

A new model of the popular Logitech Ultrathin Keyboard Cover for the iPad will be available for the iPad mini later this month, the company has announced.

The Bluetooth keyboard uses the Smart Cover magnets in the iPad mini to hold it securely attached to the device in both cover and keyboard modes. In use, the magnets in the iPad mini grip it tightly in a channel toward the rear of the keyboard.

Attaching securely with the click of powerful integrated magnets, the Logitech Ultrathin Keyboard mini has a slim aluminum cover that matches the iPad mini and brings durable protection to it with minimal weight. When you’re ready to use it, flip the Logitech Ultrathin Keyboard mini around to reveal its built-in Bluetooth® EasyType keyboard, offering a traditional typing layout in a small seven-inch form factor, plus iPad mini function shortcut keys for the commands you use most often, such as copy and paste. It also doubles as a hands-free view stand so you can use your iPad mini without having to hold it.

The exterior is aluminum to match the iPad, with both black and white options to match the two available iPad mini colors.

The keyboard will cost $79.99, $20 less than its full-sized brother.

Earlier this week, TechCrunch shared data from touch-based website developer Onswipe showing that, based on its user base of over 13 million monthly active users, over 21% of iPhone and iPad users had updated to iOS 6.1 in the first two days of availability.


We've since followed up with Onswipe to see how the share of users on iOS 6.1 has moved over the past several days, and the firm tells us that it is now seeing over 26% of users running iOS 6.1 just four days after its debut.

Onswipe CEO Jason Baptiste noted earlier this week that the rapid rate of adoption for iOS 6.1, which appears to be the fastest in history for Apple, is likely due to user comfort with the company's over-the-air updates, introduced with iOS 5 in October 2011.

The rapid uptake of iOS updates contrasts strongly with Android devices, where mobile networks are responsible for updates and just 10% of users are on the latest Jelly Bean versions, first introduced last July. The majority of Android users are still using Gingerbread, which dates to December 2010, or earlier versions of the operating system.

Following up on his report from earlier today about Apple's plans for the full-size iPad and iPhone, iLounge's Jeremy Horwitz has a new article sharing additional information on Apple's mobile device plans. The information comes from a "trusted source" and discloses product code names for the various devices as well as plans for an upgrade to the rear camera system for the iPhone 5S.

The iPhone 5S is still months away from mass production, but our source suspects that the star feature will be an upgraded rear camera—perhaps featuring Sony’s 13-Megapixel sensor, plus the aforementioned flash upgrade—along with a processor bump. Current prototypes are codenamed N51 and N53, with July mentioned as the target date.

The source indicates that the code name for the fifth-generation iPad is J72, while the second-generation iPad mini has a code name of J85.


The report indicates that the second-generation iPad mini is unlikely to appear until October of this year, roughly the same timeframe as for the next full-size iPad. Sources have scant information on the actual device, but suggest that it is likely to retain essentially the same form factor as the current model and add a Retina display. A move to a Retina display without increasing the physical size of the device would almost certainly necessitate a change in the display technology such as the adoption of new IGZO panels.

Some previous reports had indicated that the iPad and iPad mini could see updates as soon as March as part of an effort to accelerate the product development cycle, but iLounge's claims of an October launch are more in line with a recent report from frequently accurate KGI Securities analyst Ming-Chi Kuo.

Apple is running a Valentine's Day promotion on its online store, drawing attention to its free engraving offer and signature gift-wrapping service. The campaign features the iPad and iPad mini as ideal gifts for the holiday, with the iPod touch and iPod nano also being highlighted.


Apple has also posted a specific webpage with ordering deadlines to ensure delivery by Valentine's Day. Deadlines for standard shipping range from January 30 to February 5 depending on the product and whether or not it is being engraved.

A red email gift card option is also available for the holiday.