The new iPad mini will launch in the second half of the year and it will have a Retina display, according to NPD DisplaySearch analyst Richard Shim. A third generation iPad mini with an improved processor will come in 2014.
According to Business Insider, Shim claims checks with the supply chain suggest that Apple will start mass production of the iPad mini with Retina in the third quarter of 2013.
The new iPad Mini with Retina display will have a resolution of 2,048 x 1,536, which is the same as the Retina screen on the iPhone 5, and "one of the highest densities for a tablet to date", according to Cnet.
Once the pixel density surpasses 300 ppi it will be tricky to "discern that improved image quality," Shim said.
Cnet reports that LG Display (LGD) will begin production of the new iPad mini's 2 Retina display in either June or July, according to Shim. Shim confirmed that Samsung will not be a supplier for the iPad mini. He said: "Samsung is currently not in the iPad mini and they won't be in the next generation. LGD is becoming a much bigger supplier than before."
LG is one of a number of display manufacturers involved in the next iPad mini, but it is the "most prominent" said Shim.
According to that report the new iPad mini will be released this autumn.
Shim suggests that the new iPad mini will have the same A5 processor as the current iPad mini. This processor is two years old and also features in the iPhone 4S and iPad 2.
Shim notes that as the A5 chip will need to "light up twice as many pixels" the new iPad mini's battery life and performance will suffer. In order to power the extra pixels Apple may need a more powerful battery, but this could mean making the iPad mini bigger so it's an unlikely solution.
The A5 chip is manufactured by Samsung, suggesting that Samsung may still have a impact on the next generation iPad mini.
Shim believes that Apple will use a new processor in the third version of the iPad mini, but that won't ship until 2014.