Rumors are circulating the Internet nowadays regarding the possible release of an Apple Mini iPad 3. The rumors came about when The Wall Street Journal published an article that discussed Apple's efforts of testing a new tablet computer with a smaller screen.

According to the article, Apple is now working with Asian component suppliers in order to test a new tablet computer that has a smaller screen. Through having this kind of strategy, Apple would be able to broaden its product offerings even within a very competitive environment and also maintain its top position in market share.

Some officials from Apple's suppliers (who did not want to disclose their identity) revealed that Apple has revealed some screen designs for this new device. The new screen size for this new device is around 8 inches and they are currently talking with suppliers who could possibly take on this job. In terms of resolution, it would have a similar resolution screen with iPad 2.

The source person also mentioned that Apple is currently working with AU Optronics Co., a Taiwan-based company and LG Display Co., a South Korean company in order to supply the test panels. Despite these developments, there is still a possibility that Apple would not go through with this project. When asked about an official statement regarding the possibility of a mini iPad 3, Apple declined to comment.

The possibility of releasing a mini iPad 3 is not really that far-fetched according to some analysts.

Ezra Gottheil, a Technology Business Research Analyst recently released the same sentiment in Computerworld. Despite Apple's plans to release a 7-inch mini tablet, people should not expect that this news would be announced during the upcoming iPad 3 event. Gottheil remarked about this stating "I believe that's always been in the plan. Actually that's a good form factor for some users, and although they will also charge a premium above other similar-sized tablets, they want to protect that price flank."

Rhoda Alexander, senior manager for tablet and monitor research at IHS iSuppli also shared the same thoughts regarding Apple's plan to create a 7-inch mini tablet. According to Alexander, "based on our sources, we're very solid [in our belief] that Apple will release a smaller iPad that uses a 7.85-in. display, essentially an 8-in. screen, this year". The research company predicts that the release date for this tablet would be in the fourth quarter of 2012 and its possible retail price would be around US$299.

Some experts say that the reason why Apple opted to release this model is in order to compete with Amazon Kindle Fire. Amazon Kindle Fire has experienced success in the tablet market because of its size, features, and selling price. Despite not being as "high-end" as Apple's iPad, it has attracted a lot of customers and earned the praise of many tablet reviewers. Recent reports revealed that it has sold around 6 million units last quarter.