According to sources familiar with the matter, Apple will update both the new Apple TV and the iPad 3 (or iPad HD, a name we first unearthed last year) not with the rumored, quad-core A6 system-on-a-chip, but rather the A5X, a dual-core SoC said to have a more powerful GPU. From what we’re hearing, it’s basically an A5 on steroids.
Their sources say that the new Apple TV will feature 1080p video playback and that their is no question the new iPad will feature a 2048×1536 Retina display. They have also heard that the new iPad 3 will be sold alongside the iPad 2 which might receive a price cut.
I’ve thought for quite a while that the Retina display iPad would cost more than the current model and the current iPad 2 would stick around for another year. Because of the increased cost of so many of the components in the new iPad, it just makes sense for them to keep the iPad 2 around. I would like to see a price cut to $399 or $449 but that might be stretching it a bit.