Rumours emerge of iPad Mini and Kindle Fire 2

The tablet market has found a new niche in smaller, more portable devices, with multiple rumours pointing to new, smaller offerings coming soon from some of the major players. We’ve already seen Google’s Nexus 7 tablet come in with a smaller size and price tag, but now it looks like we may be seeing more compact versions of both the iPad and the Kindle Fire.

Reports are saying that Amazon has ordered 2 million units from Quanta, who manufactured the original Kindle, and that the new device could be making an appearance as early as this month.

More rumours predict multiple models of Amazon’s Kindle Fire 2, with several different 7-inch versions; with and without a camera, and one with 4G. There’ll also apparently be an 8.9 inch model sporting an impressive 1900 x 1200 pixel display, due out in the fourth quarter. No reports yet on the processor, but speculation points to something a little faster than the current Kindle Fire CPU, such as the Tegra 3.

Bloomberg and CNET are reporting that Apple may be introducing a new 7.85” iPad Mini, something Steve Jobs once said “wouldn’t make any sense”. The tablet may be priced at $299, which is close enough to the $199 pricing of Google and Amazon that it could take a big piece of the market away from them. It’s no secret that people don’t mind paying somewhat of a premium for an Apple product. Reports are that this device is slated for a late third quarter release, hoping to capitalize on Christmas sales.

These low-priced, high resolution tablets with fast processors could spell further trouble for an already struggling handheld console market. With smartphones and tablets already putting a serious dent in sales of devices such as the PS Vita, a wave of smaller, more aggressively costed tablets can only make things worse.