Apple May Launch 2 iPads in 2012

Barclays Capital believes Apple Inc. may launch two iPads in 2012 - one with better cameras, higher resolution display, an A5 processor and Siri in March and another, coming later in the year, perhaps incorporating a faster processor and 4G LTE.

We believe that Apple is set to launch a new iPad in the March time frame. This iPad seems like it will use the current A5 processor which is in the iPhone 4S and incorporate a higher resolution display, better cameras and Siri, said Ben Reitzes, an analyst at Barclays Capital.

Reitzes believes the iPad 2 will stay in the lineup as a lower priced model at the 16GB level, likely for under $400, to fend off some competition from Amazon. He believes his estimate for the current quarter, of 13.9 million iPads, is still achievableand this new product line will reaccelerate sales, especially after the transition quarter in March.

Our checks also show that Apple may be contemplating another iPad launch later in the year, perhaps incorporating a faster processor and 4G LTE, Reitzes added.

The analyst also believes Apple may consider a 7-inch screen tablet for the fall, if the Amazon Kindle takes too much market share and could even use this form factor down the road as a potential remote for a television set.