Steve Jobs may have dismissed 7-inch slates as "tweeners", but that doesn't mean the company isn't considering an oversized iPod touch according to the latest batch of rumors. Concord Securities analyst Ming-Chi Kuo claims Apple is working on a "big iPod touch" with a screen size of around 5-inches, AppleInsider reports, likely with the same resolution as the current model and offering the same PMP UI rather than the iPad UI.
According to the analyst, the new oversized iPod touch is expected to debut in the second half of 2011, more in line with Apple's PMP refresh than its tablet schedule. The slate would allow Apple to compete in the low-end tablet market, as well as differentiating the iPad from comparisons with cheaper, smaller rivals. It would apparently focus on multimedia and gaming, rather than the more flexible iPad, as per previous rumors.
Meanwhile, Kuo suggests that the iPad 3 will indeed deliver a Retina Display with a 2048 x 1536 IPS-FFS 9.7-inch panel. It's not clear whether this model will indeed arrive later in 2011, as has previously been suggested, or if those launch rumors in fact related to the oversized iPod touch.