It looks like the iPad mini rumors may never die. The latest rumblings from the supply chain (via DigiTimes) suggests that Apple will increase the viewing area of the mythical 7.85-inch iPad by featuring a slimmer bezel.
According to an earlier DigiTimes report, Apple has chosen to give the assembly contract to Pegatron Technology instead of Foxconn, which was the company that manufactured the iPad 2. If the DigiTimes' sources are correct, the iPad mini will not feature the same Retina quality display as the iPad 3, but will most likely feature IPS/FFS panels from LG Display and AU Optronics.
iPad mini rumors may be as old as the original iPad, but they went into high gear after the Amazon Kindle Fire was first announced. Many analysts and tech bloggers believe that Apple will eventually release the iPad mini to compete with the growing market of smaller and affordable tablets. Sources predict that the iPad mini will retail for around $249 - $299, and be released around the same time as the next generation iPhone later this year.