It appears that it slipped out in a interview that the iSlate tablet device will run the iPhone OS and may cost around $800+. $499. Is there a market for a device between a netbook and a smartphone? If anyone can pull it off it will be Apple. Apple announces the new device at 10:00AM PST.
The Disney CEO is showing up at the MacSlate Event - sounds like major content will be available on the Apple Tablet.
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