Even though the unveiling of a little version of the iPad waswidely anticipatedheading into Tuesday ’s media effect , Apple still managed to storm more than a few people with theiPad mini — though perhaps in ways that not everyone was hop for .

First , there was the iPad mini ’s price tag . set out at $ 329 for a 16 GB model , the iPad mini is perceptibly more expensive than the comparably sized pad of paper that many see as its main rivalry . More surprisingly , Apple did n’t just introduce a smaller iPad on Tuesday ; it also rolled out a Modern generation of full - sized iPads a mere six months after its last iPad press release .

As surprising as these decision may look from the exterior , though , analyst say there ’s a method to Apple ’s move .

The price is right?

Take that iPad mini price tag . At $ 329 , the 7.9 - inch tablet costs only $ 70 less than a 10 - column inch iPad 2 with similar specs ( and that has also been widely useable since 2011 ) . Competing 7 - inch tab such asGoogle ’s Nexus 7andAmazon ’s Kindle Fire HDboth retail for $ 199 .

Prior to its Tuesday introduction , many analysts expected the iPad mini to cost less than $ 300 — an of import doorsill for consumers , accord to NPD Group analyst Stephen Baker . “ Psychologically , there ’s a freehanded difference between being $ 299 and $ 329 , ” he tell .

Still , just carrying the Apple logotype gives the miniskirt a fully grown edge when it lands on retail shelves on November 2 . Tim Bajarin , chairperson of engineering science analysis firm Creative Strategies , expects the iPad mini to “ become immediately the gold standard in 7 - inch pad . ” Bajarin is front for the miniskirt to ascend to the top of the one - handed tablet mountain by Christmas .

Bajarin extolled the virtues of the iPad compared to its competitors , like the Kindle Fire HD , and sound out consumers would in all probability shell out $ 80 more for an entry - level iPad mini rather than the $ 249 Kindle Fire HD , even if that latter pad offers twice the storage .

“ You get Apple ’s elegant pattern , their 275,000 apps that work perfectly on the iPad Mini , and Apple ’s stellar service and support , ” Bajarin suppose .

Bajarin also ask next generations of the iPad miniskirt to amount in at a lower price . Indeed , in some example , Apple has lowered the price on subsequent releases of its mobile gimmick . The original iPod came in at $ 399 for a 5 GB translation of the music actor ; capacity soon stand up and prices before long fell in the ensue old age . Likewise , the first iPhone get down at $ 499 ; a year later , Apple slashed the start price to $ 199 for an iPhone 3 G ( though subsidies from wireless postman were responsible for that price drop ) .

Even if the iPad mini did n’t encounter pricing expectation , NPD Group ’s Baker notice that Apple usually has an preternatural sense for how to price novel products . “ Apple ’s history of picking the ripe damage is pretty good , ” he state . “ analyst and watchers are buy the farm to pick asunder the $ 329 , but I imagine we take to rent the consumer make that decision . ”

A new iPad generation

The sped - up refresh cycle for the rest of the iPad line was the other hot subject to come out of Apple ’s Tuesday announcements . Thethird - generation iPaddebuted in March with Retina exhibit is now off the market after the company unveiled the fourth - generation iPad with the Apple A6X flake , a FaceTime HD front - facing camera , and Lightning port . Prior to Tuesday ’s proclamation , Apple typically look a yr in between iPad releases .

Apple ’s decision to produce a new iPad just month after releasing an promote tablet inspired tempestuous tweets anddisgruntled web log posts , but Baker sound out that ’s the nature of tech .

“ I do n’t eff why anyone would mean [ Apple was ] under any obligation to not update a product for some period of time , ” Baker says . “ Their only indebtedness is when they think the product needs an update , it ’s fourth dimension to update it . ”

The third - generation iPad has an A5X chip , which is slow than the iPhone 5 ’s A6 buffalo chip and one-half as fast as the quaternary iPad ’s A6X ( with half the art operation , too ) . Baker say moving over to a new flake and replacing the 30 - peg bobtail connecter with the Lightning port standard likely contributed to Apple ’s conclusion to opt for a immediate raise turnaround .

Aggrieved third - generation iPad owners are n’t without options . Apple ’s retail policiesallow for return 14 days after purchase . thoughsome media report card note that select Apple Stores are claim back third - generation iPads bought within the last 30 daysif the tablets show no signs of tire - and - tear .