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FaceTime-equipped iPad expected no later than first quarter 2011

March or April would be a likely time for Apple to launch an updated iPad, …

Suppliers are already gearing up in preparation for the next-generation iPad design, according to a number of display component vendors currently undergoing validation with Apple. DigiTimes says those suppliers believe the updated iPad will ship by the second quarter of 2011, though some rumors have pointed to an earlier launch during the holidays to capitalize on FaceTime compatibility.

DigiTimes names TPK Touch Solutions, Wintek, Cando, and Chimei Innolux as suppliers currently working on "ultra-thin" touch panels using reinforced glass. Like the iPhone 4 and fourth-generation iPod touch before it, this suggests that Apple may be looking to shave some thickness from the iPad. Those hoping for a 7" version, however, may be disappointed to learn that the components said to be in testing are for a 9.7" screen size.

These component suppliers are predicting a first quarter release for the updated iPad, which would be in line with a yearly update cycle (given that the original launched in March). However, a source for AppleInsider suggests that Apple may accelerate the launch of the next-gen device to cash in on the holidays this year in order to get FaceTime-compatible version in the hands of users sooner. The addition of camera hardware and FaceTime compatibility could tempt early adopters to upgrade after less than a year, and could help stave off added competition from  tablets from SamsungCisco, and RIM.

FaceTime first launched with the iPhone 4 in June, but Steve Jobs promised that Apple would sell tens of millions of FaceTime-compatible devices by year's end. The company just released an updated iPod touch with a front-facing camera and FaceTime, and the e-mail address contact method used for those devices would work for iPads, as well. To expand the FaceTime standard—which Apple has said would be an open standard that other device makers could implement—the company is also rumored to be building compatibility into iChat for Mac OS X and may make a client app for Windows as well.

Channel Ars Technica