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rocketpig said:
 

What are you talking about? They're offering year-old hardware now and only taking $100 off the price. Given the advancements in the iPad 3 and the costs involved in it, it wouldn't surprise me at all if Apple is making more money on the $400 iPad 2 than they are the $500 iPad 3. The screen alone eats up a good portion of that $100 price difference.

That seems to be the case.

http://news.cnet.com/8301-17938_105-57399366-1/new-ipad-costs-more-to-make-but-apple-eats-the-difference/

 

To go along with that, the original A5 SoC in the iPad also had a die shrink from 45nm when the iPad 2 first released to 32nm when the "new" iPad was released. Since it is merely a die shrink and performance doesn't need to increase the smaller A5 SoC costs less to produce which offsets some of that $100 price reduction. Of course the consumer also benefits if they are buying the iPad 2 with the new A5 SoC as the newer version runs cooler and also gets better battery life than the older 45nm iPad 2.

http://www.anandtech.com/show/5789/the-ipad-24-review-32nm-a5-tested

"The gains themselves are significant. We measured a 15% increase in our web browsing battery life, a nearly 30% increase in gaming battery life and an 18% increase in video playback battery life. Although Apple hasn't revised its battery life specs, the iPad 2,4 definitely lasts longer on a single charge than the original iPad 2."




starcraft: "I and every PS3 fanboy alive are waiting for Versus more than FFXIII.
Me since the games were revealed, the fanboys since E3."

Skeeuk: "playstation 3 is the ultimate in gaming acceleration"