That would make sense if their competitors marketshare didn't double or triple for the same time period. Apple is throwing dollars away with their slow production and release schedule.
Apple stands behind their products as being a quality experience. I know a lot of people around me still using the original iPad and the company still markets the iPad2 with success.
I think we can sometimes get sucked down a marketing campaign that lacks real substance at the end of the day.
Does the lack of more RAM and the latest processor impede the quality of the experience? No.
I don't think Apple needs to get in a race to production war over specs to improve their position or retain it. That's obviously just my opinion though.