Ipad 2 Price Drop Rumor: With New Generation on the Way, iPad 2 Could Drop to $299

A release date hasn’t been set for the highly anticipated iPad 3, but when it does come out Apple could lower the price of the iPad 2 to just $299.

The most basic model of the iPad 2 currently goes for $499. ZDNet reports that Apple is expected to drop the price of the iPad 2 aggressively once the iPad 3 is available so that Apple can slow down sales of Amazon’s Kindle Fire, which currently sells for $199.

DigiTimes reports that Apple may be releasing two versions of the iPad 3 which could see prices for current models drop even further. Sources from Apple’s supply chain claimed that Apple will be releasing two versions of the iPad 3 – a higher end model with “retina display” and a basic model with resolution similar to the iPad 2.

Nothing is official about the iPad 3 yet but the International Business Times expects the new model to be released later this month. Some reports claim that the new iPad will be revealed at the iWorld Trade Show on January 26th in San Francisco, while others speculate that Apple will wait until Feb. 24 to celebrate Steve Jobs’s birthday.

Are you paying attention to the iPad rumors? Will you be buying an iPad 3?

You can see a video of a futuristic iPad here.