A Preview of the IPad 2:

With over 14 million iPads sold since April of 2010, the world is anticipating the announcement of the device's sequel, the iPad 2, to occur sometime soon before May.

There have been a multitude of rumors regarding what kinds of improvements Apple will make with the iPad 2. It is safe to say that the new iPad will likely come with 512 megabytes of RAM which would double the 256 megabytes that last year's version came with. This should allow a device with a pretty snappy user interface to begin with, an even greater ability to handle larger spreadsheet files, presentations, and videos without any lag.

Another upgrade that seems certain will be the introduction of dual core chips to the iPad. In the previous model everything was handled by one chip. On the iPad 2, it will likely come with a chip that is devoted to handling the heavy lifting of the graphics, while a new central processing chip, likely be a new chip engineered by Apple, will supplant the current A4 chip. Competitors such as the HP Touchpad, and the Motorola Xoom have gone to dual processors, and I expect that Apple will want to stay even with the competition, if not extend their lead on them just a bit more.

A new feature to come with iPad 2 will be a front facing camera, and the addition of the Facetime app to the device, which will allow video chats over Wi-fi on the iPad, just like the ones that we have become accustomed to on the iPhone 4. The addition of Facetime is one more argument in favor of Apple adding a chip that is devoted to graphics processing and a faster central processing chip. I do not expect a rear facing camera to be installed on the next version of the iPad 2.

The new iPad 2 will not receive the "retina display" increased resolution screen that was added to the iPhone 4. The cost of adding such a screen would drive the cost of the tablet beyond the current price points, and I don't see Apple wanting to raise prices on their iPads. They have the best performing tablet on the market, for the cheapest prices. I think they want to hold on to that title for as long as they reasonably can.

There have been rumors about Apple developing a smaller 7" of the iPad, but I am unconvinced that this device will be unveiled in place of the iPad 2, although it might be a candidate for release as the iPad 3. I also don't see them expanding the storage sizes for the existing models. With the introduction of the Macbook Air 11-inch and 13- inch notebooks, it is increasingly unlikely that Apple will allow the iPad to have storage capacities that would compete directly with the more expensive Macbook Air machines. I do think it is possible that they will continue to keep the separate WiFi and Wifi + 3G price points, but they will likely drop the prices a bit on the 64GB, and 32GB sizes, while possibly even eliminating the 16GB device altogether.

The benefit of removing the 16GB is that it would allow them to stay ahead of the competition by making more powerful machines available at the current prices. I think that Apple would love to brag that their entry Wi-Fi model that costs $499, is now 32GB in storage capacity. It might be a bit of a reach, but it would certainly underline how serious Apple is about the burgeoning future of iPad, and it would be a paralyzing blow that would undercut their competition who doesn't have anything available for anywhere near $499 that competes with the iPad in terms of performance, and functionality.

If Apple does not drop the 16GB capacity model, then prices for the iPad 2 with Wi-fi will continue to be $499 for 16GB, $599 for 32GB, and $699 for 64GB. For the iPads that come with Wi-fi and 3G expect the prices to be $629 for 16GB, $729 for 32GB, and $829 for 64GB. For those devices that feature Wi-fi and 3G, you will still need to obtain a data service plan from either AT&T or Verizon.

Which data plan you choose could be a big deal in terms of what kind of network you can find with your device where you live, and what kind cap you will have to live with on your data consumption from month to month. It is difficult to predict whether or not AT&T and Verizon, as we go forward, will alter the plans that are offered with the iPad 2, but I think it is highly unlikely that they will diverge much from their current data plan structures.

If you go with AT&T for your data plan, you have two simple choices, with a cap of 250 MB per month for $14.99, or a cap of 2GB per month for $25.00. Both of these plans are pay as you go, and have no required contract. You can also regulated the plan from within the settings of the iPad. The downside is that AT&T does not offer using your iPad as a mobile hotspot with either of these plans. If you need mobile hotspot capabilities to use with your laptop, or phone, then you might want to consider getting your data plan from Verizon.

On the Verizon side of things, you have significantly more decisions to make. You can choose a data plan with a 1GB cap per month for $20 that does not come with the ability to mobile hotspot, if all you need is a simple data plan for your iPad only. If you need mobile hotspot capabilities you will need to choose from three more options. First, there is the $35 per month plan that include mobile hotspot and a data cap of 3GB, or if you need more than that, you could go for a 5GB cap per month with mobile hotspot for an expensive $50. If you are a data hog who uses more than 5GB per month, then you want the massively expensive $80 plan that offers mobile hotspot and up to 10GB of data capacity per month. Remember that additional devices that connect via your mobile hotspot are consuming data goes toward your cap, so be careful how many people and devices you make your hotspot available to.

Before making your data plan choice based on price, you should obtain data availability maps from both companies and consider which network has better coverage where you live, and frequently travel. In my area, that meant AT&T, and because I got my plan very shortly after the launch of the first device, I was grandfathered into an unlimited data plan for a mere $25 per month.

The iPad 2 will likely ship sometime in April or May, before the announcement of the iPhone 5 in June. If you are on a budget, you might want to skip the iPad 2 and wait for the next big leap, as the iPad 2 will not be fundamentally different than the original iPad. It will merely be slimmed down in physical dimensions and beefed up in specs. If you have wanted a tablet computer but have waited on the sidelines while everything shook out this first year, then the iPad 2 is the one for you.

Sources:
http://www.apple.com
http://www.verizon.com
http://www.att.com