Since the iPad was first announced in January of this year, there's been speculation that a smaller form factor -- say, something between an iPad and an iPod touch -- would be added to the line.
Shanzai.com, a site that follows China's technology industry, has posted a rumor to the effect that Apple's next tablet will resemble "an oversized iPhone 4" rather than a smaller iPad. Shanzai says that they have "ears to the ground in Shenzen," the home of Apple contract manufacturer Foxconn, and that loose lips have stated that