Apple working on a slightly smaller tablet to meet the competition

Apple is apparently working with its suppliers to create a new tablet computer with a slightly smaller, 8-inch screen that is clearly aimed at striking back at competitors like Amazon's (7.5 inch Kindle Fire) and Samsung (5.3inch Galaxy Note). 

According to a story in the Wall Street Journal, Apple is to announce its new iPad 2 early next month, which will have a higher resolution screen but the same size as at present. The smaller tablet would therefore allow it to price aggressively and offer more choice.