*shrug* I own a 7" android tablet. I find the 7" form factor works better for some things and worse for others than a 10" one but I can't come up with a use case for the 7" where the 10" is completely unviable. I question the idea that there's a horde of people sitting around thinking 'you know, I'd buy an iPad if it was only a little bit smaller'. You can now get an iPad 2 for roughly the price of a decent 7" Android tab - yes, you can get 7" Android tabs for 100 quid but all the ones I've tried have been uniformly rubbish. However, the decent 7" android tabs are certainly 'good enough' that if someone just wanted a specifically 7" tab, they'd have bought one by now. The only people left in the market for an 7" Apple tab are people who specifically want an Apple Tab but don't want a 10" one. I personally don't think that's a very big market segment.
I've been wrong before - I predicted the iPod Nano wouldn't sell - but generally speaking I've not been too bad at predicting what Apple
won't do, even if I'm equally as bad as everyone else at predicting new things they pull out of their hat.
Just because 'analyst reports' say something is going to happen doesn't mean anything. If it did, we'd already have the iPhone 5, we'd have had a 7" iPad about two years ago and the Apple Televsion would have been on the shelf for about six months. There may be a 7" Apple tab at some point but that just proves if you say the same thing every three months for about five years, there's a fighting chance that eventually you'll get lucky.
If I wanted a 7" tablet I'd happily buy a Galaxy Tab. I wouldn't wait for an iPad that may or may not turn up at any indeterminate point in the future. I wonder if I'm that untypical.
Jon