One of the problem in the iPad is its iPhone OS which is limited and can run stripped down app ported from the iPhone/iPod Touch and a more powerful OS is needed for iPad.
The rumors floating around the net indicated that Apple is working on the successor for their iPad. A more advanced tablet with larger dimensions and is supposed to come with Mac OS X rather than iPhone OS which is used in iPad. And the interesting thing is that it will be coming this year itself.
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