Excerpt from a timely iPad reality check. I expect we’ll see price cuts and a ~7” iPad in 2012.
Here is the key paragraph on demand, we've bolded the key phrase:
...the new Hon Hai forecast implies more limited upside to iPad units, which is disappointing for a December quarter. While improving holiday demand into late November could certainly push the momentum in the other direction, we believe it is prudent to assume the iPad is facing some near-term demand challenges. We believe there are several factors driving this pressure, but we also believe these issues are temporary and will likely be solved by three key factors in early 2012: (1) the continued adoption of iCloud, (2) the launch of Siri on the iPad, and (3) the addition of lower price points.