Android tablets all have 1280 by 800 screens. iPad has 1024 x 768. That makes the Android tablet better for reading text. And while they are not better at much else (I own one), I'm wondering if Apple really wants to let that stand. But if they do increase screen resolution, they will have to improve the graphics processor too to continue to support games. Given that the new Tegra 3 chip in Android tablets is to appear in September/October, promising 5x the power of the current Tegra 2 chips, that ups the ante against Apple.
I don't know...I don't think Jobs wants to risk the iPad losing market at this point. The tablet market is really almost non-existent. I would expect to see at least 50% screen resolution along with upgraded graphics processor to support that. And since Apple decided to put cameras on the iPad (I wish they had just included the front one), I would expect to see those improved too.
I would expect this. And frankly, I think I'll have to get one. I may not stand in lines this time, though, but I really would appreciate a better screen for reading text on the iPad 3.